#aca-subsidies

#aca-subsidies

Republicans and Democrats have been unable to get to a funding compromise. Republicans have accused Democrats of fighting for healthcare for illegal immigrants. Democrats are pushing for Affordable Care Act subsidies to be extended, arguing current expirations could lead to massive premium increases for citizens. If Republican Senators wanted to pass the CR and reopen the government they could, by using the nuclear option to override the 60 vote rule and pass the CR with a simple majority vote.

The illegal immigrant is just a red herring that's designed to try and prevent people from talking about the real issue, which is how do we provide health insurance for people in this country, Shaheen said. You know, I say a little detail, you say red herring, but the fact is, Senator, that it exists, Jones responded. No, listen, I'm agreeing with you, she said. You're trying to make an issue where there isn't one. We agree! Illegal immigrants should not be getting access to the Affordable Care Act marketplace.

The final vote was 55-45, short of the 60 needed "yeses." Sen. Rand Paul (R-Ky.) voted with Democrats against the measure, while Sens. John Fetterman (D-Penn.), Catherine Cortez Masto (D-Nev.) and Angus King (I-Maine) voted with Republicans. Zoom in: The Senate also rejected Democrats' alternative stopgap spending bill proposal, which would extend Affordable Care Act enhanced subsidies and prevent President Trump from clawing back appropriated funds.

Obamacare premiums are poised to jump next year, driven by expiring federal subsidies and the highest proposed rate hikes since 2018, setting up a pocketbook shock for millions of marketplace enrollees, unless Congress intervenes. The core driver is the scheduled sunset of enhanced premium tax credits at year-end, which could lift out-of-pocket bills by roughly 75%, on average, for subsidized customers on top of insurers' underlying rate increases for 2026, according to analyses cited by both The New York Times and Fortune.

Centene's recent stock drop is closely linked to a combination of higher-than-expected medical costs amid challenging trends in the Affordable Care Act (ACA) market and anticipation of the scheduled end to enhanced ACA subsidies at the end of 2025. While shares jumped earlier this week after Centene affirmed its guidance, which was higher than analysts' estimates, it faces an uncertain road ahead.