Americans Face New Year Without Healthcare Amid Rising Costs

Fri Jan 02 2026 09:10:56 GMT+0200 (Eastern European Standard Time)

As the New Year dawns, millions of Americans are confronted with soaring healthcare costs after crucial subsidies expire, leaving families like that of Adrienne Martin without coverage.

In a troubling start to 2026, many Americans are bracing for dramatic increases in healthcare premiums. Families like Adrienne Martin's face the harsh reality of having to either forgo insurance or pay exorbitant monthly fees. With subsidies from the Affordable Care Act expiring, the financial burden may push families into a difficult position regarding their health coverage. Despite bipartisan efforts in Congress to extend these subsidies, political gridlock leaves many in uncertainty as they navigate rising medical costs.

A New Year brings new challenges for many Americans, as millions are set to start 2026 without health insurance due to rising healthcare costs. The expiration of key subsidies from the Affordable Care Act (ACA) has left numerous families struggling to afford even basic coverage.

Adrienne Martin, a 47-year-old mother from Texas, exemplifies this dilemma. She recently learned that her monthly healthcare premium would increase dramatically from $630 to $2,400. With her husband relying on a costly IV medication for a blood-clotting condition, the family has rallied to stockpile the drug as they prepare for a few months without coverage.

It would be like paying two mortgage payments, Martin explains. We can't pay $30,000 for insurance a year. Her situation mirrors that of millions of Americans who will see their healthcare costs skyrocket following the expiration of ACA subsidies—a move that many policymakers attempted to extend but failed to achieve due to political impasse.

Approximately 24 million Americans utilize the ACA marketplace for their insurance, and many have grown accustomed to tax credits that significantly lower their monthly premiums. These subsidies were first introduced under President Obama in 2014 and expanded during the COVID-19 pandemic. However, with Congress unable to agree on a path forward, individuals like Martin are left questioning their access to affordable healthcare.

The political struggle for subsidies reached a peak during the previous government's shutdown—resulting in the longest federal halt in U.S. history, which lasted over 40 days. While Democrats aimed to secure a three-year extension for the subsidies, Republicans remained steadfast against expanding the budget without spending cuts.

As a consequence of the ongoing legislative deadlock, healthcare costs are expected to jump by an average of 114%. This has led individuals like California mother Maddie Bannister, who anticipated her monthly premium would skyrocket from $124 to $908, to reconsider their healthcare options. Bannister expressed a likely decision to forgo insurance altogether, citing that it could be cheaper to pay a penalty for being uninsured than covering exorbitant healthcare costs.

Ongoing discussions in Congress are expected as representatives prepare to vote on the ACA subsidies during the first week of January. Yet, without immediate legislative action, experts warn that the number of uninsured Americans could rise significantly in the coming year, leaving many families fearful and uncertain about their health coverage futures.