At least a dozen states are scrambling to limit health insurance premium hikes after Congress failed to renew enhanced Obamacare subsidies, leaving millions of Americans facing higher health care costs. (iStock)
The looming expiration of the subsidies hung over negotiations during the longest-ever government shutdown in the fall, as Republicans and Democrats tried — and failed — to pass competing plans to extend or replace the enhanced tax credits.
The lapse of the subsidies is expected to push millions of Americans out of the individual insurance market, increasing pressure on state Medicaid programs and hospitals already facing financial strain. State responses have varied widely, reflecting political divisions, fiscal constraints and differing views on the Affordable Care Act.
According to Politico, California, which anticipated the subsidies would expire, is spending nearly $200 million to support roughly 300,000 lower-income residents, but officials warn that hundreds of thousands more could still lose coverage.
COLLINS, MORENO UNVEIL OBAMACARE PLAN AS REPUBLICANS SEARCH FOR SOLUTION TO EXPIRING SUBSIDIES
Sens. Susan Collins, R-Maine, and Bernie Moreno, R-Ohio, announced their plan to extend expiring Obamacare subsidies by two years, include income caps and end zero-cost premiums. (Anna Moneymaker/Getty Images ; Andrew Harnik/Getty Images)
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Earlier this month, Sens. Susan Collins, R-Maine, and Bernie Moreno, R-Ohio, held bipartisan confabs to hash out a framework for an Obamacare fix that could meet the desires of both sides of the aisle, but it has not been formally written into a bill that passed either chamber yet.
Any fix would likely involve a short-term extension of subsidies paired with Republican demands for guardrails, such as income limits or cost controls.
Fox News’ Alex Miller contributed to this report.
Michael Dorgan is a writer for Fox News Digital and Fox Business.
You can send tips to michael.dorgan@fox.com and follow him on Twitter @M_Dorgan.
https://www.foxnews.com/politics/some-states-move-pick-up-tab-obamacare-subsidies-lapse