if GOP Raises Costs by Letting Premium Tax Credits Expire
*Watch the event here*
Lansing, Michigan – Today, U.S. Department of Health and Human Services Regional Director Michael Cabonargi and health care advocates joined Protect Our Care Michigan to discuss the urgent need for Congress to stop Republican premium hikes. The Affordable Care Act (ACA) open enrollment period runs through Jan. 15, and Michiganders will continue to save thousands of dollars on their health care thanks to the Inflation Reduction Act’s enhanced premium tax credits. Thanks to these savings passed by the Biden-Harris administration and Democrats in Congress, a record 418,100 Michiganders enrolled in ACA Marketplace plans in 2024. But, these tax credits are set to expire at the end of 2025.
New reporting indicates that Republicans have rejected Democrats’ proposal to extend the IRA’s enhanced premium tax credits for one year, despite the millions of Americans relying on lower premiums. Republicans are working overtime to dole out more tax breaks to their wealthy friends on Wall Street. If these tax credits do expire, Republicans will own this premium hike for middle-class families and the coverage losses for millions that come with it. According to a new report from the Center on Budget and Policy Priorities, an estimated 120,000 Michiganders will see their premiums increase by as much as $13,621 per year without these critical savings. Speakers urged Republicans in Congress to change course and renew these tax credits so that Michiganders can continue to rely on these savings to remain insured and healthy.
“Thanks to the Inflation Reduction Act, marketplace coverage is now more affordable than ever,” said Michael Cabonargi, Regional Director of the Great Lakes Region of the U.S. Department of Health and Human Services. “During current open enrollment, four in five consumers will be able to enroll in coverage for less than $10 per month, thanks to premium tax credits under the IRA. Right now, more than 14 million Americans save an average of $527 on monthly health insurance premiums thanks to the tax credits. Marketplace health coverage means people can access quality health care when they need it, not just when they can afford it.”
“Enhanced premium tax credits continued in the Inflation Reduction Act have cut marketplace premiums by an average of 44%, making quality health coverage accessible to millions, including thousands of Michigan families,” said Amber Bellazaire, Michigan League for Public Policy senior policy analyst. "Extending the improved tax credits beyond 2025 is essential to ensuring that all Michiganders and Americans have access to the health care they need."
“I strongly encourage everyone seeking a plan on the Marketplace to sign up during open enrollment by Dec. 15 for coverage to start on Jan. 1, and by Jan. 15 to have coverage effective Feb. 1,” said Mindy Smith, Ingham County Health Department Program Coordinator and certified application counselor, certified with the Centers for Medicare & Medicaid. “You can find a health care navigator right in your community by visiting www.mi211.org or by calling the Ingham County Health Department at 517-887-4306.”
You can view the full event here and learn more about ACA open enrollment and Republican attacks on health care here.
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