Pandemic-Era Tax Credits Made Healthcare More Affordable, But They're Set to Expire
By Ernie Mundell HealthDay Reporter
TUESDAY, June 18, 2024 -- In a success story for Americans seeking affordable healthcare coverage, tax credits put in place during the pandemic helped millions gain health insurance, a new report found.
Trouble is, the credits are set to expire at the end of 2025, noted a research team from the nonprofit Robert Wood Johnson Foundation (RWJ).
According to RWJ's new analysis, so-called enhanced Premium Tax Credits will reduce the number of uninsured Americans by 4 million next year, and boost enrollment in the Affordable Care Act (ACA) health insurance marketplace by 7.2 million.
The credits were put into place by Congress during the pandemic to help folks hang on to health insurance.
The strategy worked, with the new modeling analysis finding:
-
a predicted 14% reduction in the number of uninsured Americans in 2025, alongside a 71% boost in ACA marketplace enrollment
-
50% to 100% reductions in premiums for 2025 in the lowest income households (those below 300% of the federal poverty level) and about a 25% reduction for households above that level
-
About a doubling of ACA marketplace enrollment in five states -- Texas, South Carolina, Mississippi, Louisiana and Georgia -- leading to roughly a 21% reduction in the numbers of uninsured in those states.
“The enhanced premium tax credits have led to record-high enrollment in the Marketplaces at all income levels, and enrollment will likely rise as the Medicaid unwinding finishes,” said Jessica Banthin, senior fellow at the Urban Institute. “If Congress does not extend enhanced premium tax credits after 2025, we project that these gains will be reversed, and more than 4 million people could become uninsured.”
“Thanks to the enhanced premium tax credits, millions of additional people across America have gotten covered,” Katherine Hempstead, RWJ's senior policy adviser, said in a foundation news release. “These tax credits have increased affordability for individuals and families who might have otherwise been forced to choose between healthcare and other necessities. Expanding coverage advances equity, increases financial stability and empowers millions to access needed care.”
Sources
- Robert Wood Johnson Foundation, news release, June 17, 2024
Disclaimer: Statistical data in medical articles provide general trends and do not pertain to individuals. Individual factors can vary greatly. Always seek personalized medical advice for individual healthcare decisions.

© 2025 HealthDay. All rights reserved.
Posted June 2024
Further Support and Information on COVID-19
Read this next
Organic Ground Beef Sold at Whole Foods May Be Contaminated With E. Coli, USDA Says
THURSDAY, June 5, 2025 — Some packages of organic ground beef sold at Whole Foods stores across the country may be contaminated with E. coli, federal officials have...
RFK Jr. Calls for a Review of Abortion Pill Mifepristone
THURSDAY, June 5, 2025 — U.S. Health and Human Services Secretary Robert F. Kennedy Jr. has ordered a fresh safety review of mifepristone, a drug commonly used in medication...
More U.S. Teens Are Now Taking Wegovy for Weight Loss
THURSDAY, June 5, 2025 — More American teenagers now use the weight-loss drug Wegovy, as doctors and families grow more comfortable with the treatment. But experts...
More news resources
- FDA Medwatch Drug Alerts
- Daily MedNews
- News for Health Professionals
- New Drug Approvals
- New Drug Applications
- Drug Shortages
- Clinical Trial Results
- Generic Drug Approvals
Subscribe to our newsletter
Whatever your topic of interest, subscribe to our newsletters to get the best of Drugs.com in your inbox.