Health insurance prices set to rise as Obamacare subsidies remain unsettled
Updated Dec. 16, 2025, 6:00 p.m. ET
WASHINGTON – With time running out to extend the Obamacare subsidies, millions of Americans face higher health insurance premiums as the year ends. The subsidies, which help offset costs on the Obamacare marketplace, are set to expire, leaving many enrollees facing steeper monthly payments.
The press conference on Dec. 16 featured Speaker Mike Johnson noting that a last-minute House effort to bring a vote on the tax credits had not produced a consensus. Despite roughly a dozen moderate Republicans weighing in over the weekend as lawmakers prepared to break for the holidays, there was no agreement to move forward.
Johnson summarized the situation by saying, “Many of them wanted to vote on this Obamacare, COVID-era subsidy the Democrats created. We looked for a way to provide a pressure release valve, and it just was not to be.”
The anticipated end of the Affordable Care Act subsidies would affect about 22 million people. The Kaiser Family Foundation (KFF), a nonpartisan health policy group, estimates that once the credits lapse, the average enrollee who currently benefits from them could see premiums double.
Republicans have opposed extending the subsidies in part due to broader concerns about federal spending. Johnson also cited a Government Accountability Office (GAO) report that highlighted ongoing fraud risks within the program as a point of concern.
Earlier this week, a Senate vote on a bill to extend the COVID-era subsidies for three years failed to advance. The measure received unanimous support from Democrats and four Republican senators but did not reach the 60-vote threshold needed to pass in the Senate.
Meanwhile, the House is expected to debate a separate GOP-backed framework aimed at healthcare reform. That approach would allow employers to form associations to offer group health plans and would include funding in 2027 to help reduce out-of-pocket costs. Johnson added that he hopes Democrats will join in supporting the new bill, though it’s unlikely to succeed without addressing the Obamacare subsidies.
Senate Minority Leader Chuck Schumer, D-N.Y., criticized the House’s decision not to hold a vote on the Obamacare subsidies. “Johnson said it ‘just was not to be.’ Well, tell that to an American family facing $500 to $1,000 more each month for health care.”
Zachary Schermele is a congressional reporter for USA TODAY. He can be reached at zschermele@usatoday.com. Follow him on X at @ZachSchermele and Bluesky at @zachschermele.bsky.social.
Would you support continuing the subsidies to stabilize premiums, or do you favor a broader reform package that reshapes how health insurance is funded and delivered? Share your thoughts in the comments.
