By Stacey Pogue, Justin Giovannelli, and Jalisa Clark
Last year, Congress allowed the enhanced premium tax credits (PTCs) to expire, drastically eroding the affordability of insurance coverage through the Affordable Care Act marketplaces. The impact of this loss of federal financial assistance is already evident in the 5% decrease in sign-ups during Open Enrollment, and new data shows even more people dropping coverage in the months following.
While federal subsidies decreased, seven states took action to lessen the financial burden on residents by launching new subsidy programs or modifying their existing ones. For most states, it’ll be impossible to replace the $35 billion the federal government had provided under the enhanced PTCs. States have had to be strategic in targeting specific populations to help fill the gaps in insurance subsidies and maximize the impact of limited resources.
In a new post for the Commonwealth Fund’s To the Point blog, CHIR’s Stacey Pogue, Justin Giovannelli, and Jalisa Clark examine the landscape of state subsidy programs following the end of enhanced PTCs, identify the targeted populations states are serving, and discuss the sustainability of these costly programs.
You can read the full post here.