Why Obamacare Premiums Are Set to Rise Sharply

Since the Covid-19 pandemic, millions of Americans buying health insurance through Affordable Care Act (ACA) marketplaces have relied on enhanced subsidies to make their coverage more affordable. These tax credits, which lower monthly premiums, were designed both to ease costs for lower-income enrollees and to extend assistance to more middle-income households.

But the enhanced ACA subsidies expired at the start of the new year, a change expected to sharply raise premiums and leave millions without coverage. Congress is divided over whether to extend them, making the future of these widely used benefits uncertain. Here’s what you need to know.