Oklahomans who use the Affordable Care Act marketplace and federal subsidies could see an increase in health insurance premiums next year. Oklahoma Insurance Commissioner Glen Mulready is sending out a warning that if Congress does not extend the enhanced Advanced Premium Tax Credits (eAPTCs) by the end of the year, insurance premiums will rise.
“A permanent extension of the $338 billion in enhanced federal health insurance subsidies is looking more unlikely,” said Mulready. “While there might be other potential solutions considered by Congress this year, Oklahoma’s leaders and citizens need to be prepared for the consequences of these subsidies ending with significant changes in health insurance costs anticipated.”
According to the Oklahoma Insurance Department, the average cost of a benchmark silver plan in Oklahoma will increase from the average of $58 a month to $153 a month. Oklahoma has approximately 300,000 people using the ACA marketplace to obtain health insurance coverage.
Major increases in premiums like that could lead to many Oklahomans dropping insurance coverage.
“Oklahomans and my fellow elected leaders must understand the potential impact of the expiration of these federal subsidies. While I am still hopeful Congress can come to a compromise that lessens the impact of the impending tax credit cutoff date, the Oklahoma Insurance Department remains committed to monitoring this situation and providing updates as they become available,” said Mulready.
