The Impacts of the Enhanced Premium Tax Credit on Uninsurance, Premiums, & State Innovation

The enhanced premium tax credits (PTC), enacted by Congress in 2021 and extended in 2023, dramatically reduced premium costs for ACA marketplace coverage and reduced uninsurance to historic lows, especially for groups with relatively high rates of uninsurance. But without Congressional action, these enhancements will expire at the end of 2025. In this presentation, Claire Heyison and Laura Colbert provided a state-by-state analysis of the impact on uninsurance and marketplace premiums if the enhanced PTCs are not made permanent. Claire & Laura also discussed the impact of the enhanced PTC on state health insurance affordability programs, such as reinsurance and state-funded premium and cost-sharing assistance.