Enhanced Tax Credits & Health Coverage

FAH strongly supports efforts to increase access to affordable health care coverage for millions of Americans through the federal and state health care marketplaces.

In 2021, Congress enacted enhanced premium tax credits to provide additional assistance for Americans buying their own insurance coverage through marketplace exchanges. In 2022, these tax credits were extended through the end of 2025. By expanding eligibility for the enhanced tax credits, Congress made health insurance coverage more affordable for 10 million Americans in the last four years alone.

Today, 24 million Americans purchase their health coverage through the marketplace, and nearly all of them rely on enhanced tax credits to make it affordable, including small business owners, entrepreneurs, farmers, and other self-employed Americans without employer-sponsored coverage. The enhanced tax credits allow hard-working Americans to access an affordable health plan of their choosing.

In 2024, the enhanced tax credits saved Americans $700 on average.
(KFF, 2024)

Now, Congress must act. If the enhanced tax credits expire at the end of 2025, monthly premiums will skyrocket for nearly everyone who purchases coverage on the individual market, including small business owners, entrepreneurs, and families with children.

A typical family of four making $126,000 will see their premiums spike by $10,710 MORE per year if Congress doesn’t extend the enhanced tax credits.
(Keep Americans Covered, 2024)

In 2024, FAH helped launch Keep Americans Covered, a coalition of the health care community representing patients, consumers, physicians, hospitals, health insurers, and employers in support of extending the enhanced tax credits for American families. For more information on how costs would increase for each person in the average family in your state or Congressional district, click here.

Strengthening Marketplace Coverage

While substantial progress has been made over the past decade in expanding access to health coverage, there are obstacles to ensuring affordable access for more Americans.

We support ensuring:

Coverage of hospital services for patients

Adequate health plan networks that provide consumers with meaningful access to providers, including essential community providers

Robust competition in the Marketplaces to provide consumers with a variety of health insurance plan offerings

That health plans meet statutory medical loss ratio requirements

It is critical that the law is interpreted and implemented by the administration, Congress, and courts in a manner that reflects the law’s intent — to promote access to health insurance coverage for millions of Americans to the broadest extent possible.

Did You Know? FAH has long advocated for health coverage for the under- and un-insured. In fact, in March 2008, FAH developed “Health Coverage Passport,” a plan to make it possible for all Americans to get the coverage they need.