Shaheen, Baldwin, Underwood Seek to Lower Health Care Costs for Millions of Americans with Bicameral Legislation to Permanently Extend Affordable Care Act Premium Tax Credits

(Washington, DC) – U.S. Senators Jeanne Shaheen (D-NH) and Tammy Baldwin (D-WI), along with U.S. Congresswoman Lauren Underwood (IL-14), are reintroducing their Health Care Affordability Act—bicameral legislation making permanent the Affordable Care Act’s (ACA) enhanced premium tax credits (PTCs) for Marketplace coverage as extended through the Inflation Reduction Act. According to the Congressional Budget Office (CBO), if the PTCs are allowed to expire at the end of this year, health care premiums would increase by 7.9 percent and 3.8 million Americans would lose their health insurance altogether. Yesterday, the Biden Administration announced that nearly 24 million consumers have signed up for ACA Marketplace coverage, nearly doubling enrollment during the last four years.  

“The numbers speak for themselves – the Affordable Care Act has record enrollment, benefitting millions of working-class families. But if the ACA’s enhanced premium tax credits expire, costs will increase across the country and millions of Americans would be at risk of losing coverage altogether,” said Shaheen. “At a time when hardworking Americans are facing higher costs due to inflation, we should make every effort to lower prices where we can. That’s why I’m reintroducing our Health Care Affordability Act and urging my Republican colleagues to come to the table in good faith to keep costs from skyrocketing for millions.” 

“Every Wisconsinite should be able to get the health care they need. Period. Our Affordable Care Act put health care within reach for millions of Americans who could for the first time afford and access the comprehensive care they need to stay healthy, but there’s more work to do. I’m looking at every way we can further lower costs and expand access to good health care for families – and that starts with not jacking up costs on Wisconsinites. If we don’t make these tax breaks permanent, thousands of working families will see their health care bills skyrocket, potentially leaving some without the lifesaving care they need,” said Baldwin. 

“The Health Care Affordability Act significantly reduced health care costs for millions of Americans. These popular tax credits continue to help Americans get covered, putting quality, affordable health care within reach for millions of people,” said Underwood. “Now, Congress must act quickly, to build on the historic progress we have made by making these savings permanent.” 

The Health Care Affordability Act would make permanent the ACA PTCs for Health Insurance Marketplace coverage as passed in the American Rescue Plan Act and extended through the Inflation Reduction Act. Those enhanced tax credits increase the value of the tax credits available to people with income between 100 and 400 percent of the federal poverty level (FPL) while expanding eligibility for premium tax credits to include individuals with income above 400 percent of FPL.  

At the end of last year, Shaheen, U.S. Senator Ron Wyden (D-OR), U.S. Representatives Richard E. Neal (D-MA-01) and Lauren Underwood (D-IL-14), as well as U.S. Senate Majority Leader Chuck Schumer and U.S. House of Representatives Democratic Leader Hakeem Jeffries, secured new data from the U.S. Congressional Budget Office (CBO) detailing the impact on Americans’ health insurance should the ACA enhanced PTCs expire at the end of 2025. 

Senate cosponsors of Shaheen and Baldwin’s bill include U.S. Senate Minority Leader Chuck Schumer (D-NY), Committee on Finance Ranking Member Ron Wyden (D-OR), U.S. Senators Richard Blumenthal (D-CT), Angus King (I-ME), Maggie Hassan (D-NH), Peter Welch (D-VT), Tim Kaine (D-VA), Chris Coons (D-DE), Elizabeth Warren (D-MA), Dick Durbin (D-IL), Patty Murray (D-WA), Raphael Warnock (D-GA), Kirsten Gillibrand (D-NY), Jack Reed (D-RI), Tammy Duckworth (D-IL), Chris Van Hollen (D-MD), Catherine Cortez Masto (D-NV), Brian Schatz (D-HI), Alex Padilla (D-CA), Tina Smith (D-MN), Amy Klobuchar (D-MN), Jacky Rosen (D-NV), Mark Kelly (D-AZ), Cory Booker (D-NJ), Sheldon Whitehouse (D-RI), Jeff Merkley (D-OR), Adam Schiff (D-CA), Mark Warner (D-VA), Ed Markey (D-MA), Ben Ray Lujan (D-NM), Mazie Hirono (D-HI), Michael Bennet (D-CO), John Hickenlooper (D-CO), Gary Peters (D-MI), John Fetterman (D-PA), Martin Heinrich (D-NM), Andy Kim (D-NJ) and Elissa Slotkin (D-MI). 

The bill has been endorsed by: Protect Our Care, Keep Americans Covered, Leukemia and Lymphoma Society, United States of Care, National Health Council, Unidos, Young Invincibles, Alliance of Community Health Plans, American Cancer Society Cancer Action Network, American Lung Association, Center for American Progress, American Heart Association, Cystic Fibrosis Foundation, Third Way, Susan G. Komen, Arthritis Foundation, Cancer Support Community, Child Neurology Foundation, Epilepsy Foundation of America, American Kidney Fund, CancerCare, Family Voices – National, Hemophilia Federation of America, Lupus Foundation of America, National Bleeding Disorders Foundation, National Kidney Foundation, Muscular Dystrophy Association, National Multiple Sclerosis Society, National Organization for Rare Disorders, National Patient Advocate Foundation, National Psoriasis Foundation, The AIDS Institute, Families USA, Asian & Pacific Islander American Health Forum, Federation of American Hospitals, Center for American Progress, National Partnership for Women and Families, Pulmonary Hypertension Association, GO2 for Lung Cancer, Community Catalyst, American Federation of Teachers and National Coalition for Cancer Survivorship. 

Shaheen has spearheaded efforts to lower premiums to make health insurance more affordable for patients through her signature legislation, the Improving Health Insurance Affordability Act. Shaheen successfully secured premium tax credit enhancement provisions in the American Rescue Plan. This expansion of premium tax credits marked the biggest improvement to the ACA since it became law over a decade ago. When the tax credits were set to expire in 2023, Shaheen successfully extended their authorization through the Inflation Reduction Act.  

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