"Californians renewing their public health plans or who plan to sign up for the first time will be in for sticker shock when open enrollment begins on Saturday. Monthly premiums for federally subsidized plans available on the Covered California exchange - often referred to as Obamacare - will soar by 97% on average for 2026. The skyrocketing premiums come as a result of a conflict at the center of the current federal government shutdown, which began on Oct. 1:"
"Monthly premiums for subsidized healthcare plans offered by Covered California - this state's Obamacare insurance exchange - are set to rise by 97% on average for 2026. The main reason for the spike is that Biden-era enhanced tax credits aimed at keeping premiums affordable will expire on Dec. 31, unless Republicans and Democrats in Washington can agree to extend them as part of a budget deal to reopen the federal government."
"Open enrollment for the coming year runs from Nov. 1 until Jan. 31. It's traditionally the period when members compare options and make changes to existing plans and when new members opt in. Only this time, the government shutdown has stirred uncertainty about the fate of the subsidies, first introduced during the COVID-19 pandemic and which have been keeping policy costs low, but will expire at the end of the year if lawmakers in Washington don't act to extend them."
Monthly premiums for federally subsidized plans on Covered California will rise by about 97% on average for 2026. The spike stems from scheduled expiration of Biden-era enhanced tax credits on Dec. 31 unless Congress extends them during budget negotiations tied to the government shutdown. About 1.7 million of 1.9 million Californians enrolled in Covered California receive those subsidies. Open enrollment runs Nov. 1 through Jan. 31. The subsidies were expanded during the COVID-19 pandemic and have kept monthly costs affordable; their loss would sharply increase premiums and likely prompt many people to drop coverage.
Read at Los Angeles Times
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