Governor Josh Stein has urged Congress to extend the Affordable Care Act’s (ACA) enhanced premium tax credits beyond December 31, 2025. According to Stein, failure to act would result in significant increases in health care costs for North Carolinians.
“We have a responsibility to stay laser-focused on lowering costs for families, including health care costs,” said Governor Josh Stein. “We cannot stand by as health care costs skyrocket for families across North Carolina and the country, and I urge you to do your part and take swift action to extend the enhanced premium tax credits.”
Enhanced premium tax credits were introduced in 2021. Since then, hundreds of thousands of people in North Carolina have been able to access more affordable health insurance. Nationally, between 2023 and 2024, nearly 80% of enrollees found plans costing $10 or less per month with these credits, compared to only 36% without them. If Congress does not act by September 30, the enhanced credits will expire at the end of the year.
The North Carolina Department of Insurance has stated that losing these tax credits would make it harder for people to afford their premiums. The impact would be felt most strongly among rural residents, young people, and those with low incomes. In counties such as Dare, Hyde, Brunswick, Pamlico, and Transylvania, annual premiums could rise by over $1,000.
Stein warned that if younger and healthier individuals leave the insurance marketplace due to higher costs, premiums could rise further for everyone else. This situation could also lead insurers to withdraw from the individual market. He noted that this comes at a time when North Carolina’s health care system is already strained because of federal Medicaid cuts.
Governor Stein remains committed to keeping health care accessible and affordable for residents across the state.
Click here to read Governor Stein’s letter calling on Congress to extend the ACA enhanced premium tax credits.
