Governor Stein Calls for Congressional Action on ACA Tax Credits to Keep Health Care Costs Down for Hundreds of Thousands of North Carolinians

Today Governor Stein called on Congress to extend the Affordable Care Act (ACA)'s enhanced premium tax credits beyond December 31, 2025, to protect North Carolinians from skyrocketing health care costs. Without congressional action, 157,000 North Carolinians will become uninsured and another 888,000 will see their health care premiums double.

"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."

Since enhanced premium tax credits began in 2021, hundreds of thousands of North Carolinians have been able to get affordable health insurance. From 2023-2024, nearly 80% of enrollees nationally were able to find plans that costs $10 or less per month, compared to only 36% without the help of enhanced premium tax credits. If Congress does not take action to extend them by September 30, the enhanced premium tax credits will expire on December 31. Then, it will be too late for many to opt into affordable health insurance.

The NC Department of Insurance has indicated the expiration of premium tax credits "will make it more difficult for people to afford their premiums." Rural residents, young people, and low-income North Carolinians will be harmed the most if Congress fails to act. In Dare, Hyde, Brunswick, Pamlico, and Transylvania counties, which will face the highest increases, enrollees will be forced to pay more than $1,000 more per year in annual premiums.

When younger, healthier people exit the marketplace, costs increase for everyone. These exits also create a more volatile and untenable market for insurers, creating concerns that more insurers will pull out of the individual market altogether. At a time when North Carolina's health care system is already under extreme pressure due to drastic federal cuts to Medicaid, Governor Stein is committed to ensuring health care remains accessible and affordable for North Carolinians.

Click here to read Governor Stein's letter calling on Congress to extend the ACA enhanced premium tax credits.

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