Richard Cowan
WASHINGTON, Jan 8 (Reuters) – The Republican-controlled U.S. House of Representatives on Thursday prepared to pass Democratic-backed legislation to restore expired health care subsidies as millions of Americans face steep increases in insurance prices.
The Republican-controlled Senate has rejected similar bills, but House passage could prompt a compromise. Senate negotiators are weighing proposals to extend subsidies for less than three years, limit coverage to people below a certain income level and ease abortion restrictions sought by conservatives.
Polls show “affordability” is the top concern among voters, and lawmakers are seeking action to limit price increases ahead of November elections that will decide control of Congress.
“Democrats will make health care and the high cost of living their top issues throughout 2026,” Senate Democratic Leader Chuck Schumer said at a news conference.
Congress allowed tax breaks that benefited the 24 million Americans who got insurance through the Affordable Care Act to expire at the end of 2025. Restoring these subsidies would increase enrollment in the program by 6.2 million and cost the government $80.6 billion over 10 years, according to the nonpartisan Congressional Budget Office. The Affordable Care Act, nicknamed “Obamacare,” became law in 2010 despite Republican opposition, and passed coronavirus subsidy policies in 2021 without any Republican votes.
The House vote was a huge victory for Democrats, whose failed effort to extend subsidies last fall led to a 43-day government shutdown.
Americans have until January 15 to sign up for this year’s ACA coverage, although the Trump administration may extend that deadline.
Rep. Jim McGovern, D-Mass., said some of his constituents are facing thousands of dollars a month in higher costs because of Washington’s failure to develop solutions.
Republicans acknowledge the need to reduce costs but say the program is riddled with fraud and waste.
“We should start by stopping spending a lot of money on this program,” Rep. Jodey Arrington, R-Texas, said on CNBC.
(Reporting by Richard Cowan; Additional reporting by Amina Niasse in New York; Editing by Andy Sullivan and Chizu Nomiyama)
