Hundreds of thousands of Arizonans are facing sharply higher health insurance costs in 2026 after enhanced federal subsidies expired on January 1, leaving families scrambling to afford coverage or consider dropping it altogether.
The enhanced subsidies, which helped lower monthly insurance payments for people buying plans through the Affordable Care Act (ACA) marketplace, ended when Congress didn't renew them by the December 31st deadline.
Representative Greg Stanton (D-AZ) has prioritized protecting ACA provisions, particularly coverage for individuals with pre-existing conditions and Medicaid expansion in Arizona.
He advocates for strengthening the existing ACA framework and emphasizes the importance of maintaining stable, affordable coverage for Arizonans across different income levels and age groups.
Furthermore, Stanton posted on social media that he plans to work toward restoring the financial help. "Tragically, it's official: Trump & congressional Republicans let cost-saving Affordable Care Act tax credits expire. Nearly 400,000 Arizonans now face a brutal choice: lose coverage or pay significantly higher premiums," he shared on social media.
Expired Subsidies
The subsidies benefited Americans who purchase their own insurance rather than getting it through an employer or qualifying for programs like Medicaid or Medicare. For years, these tax credits made monthly premiums more manageable for middle-class families.
However, Democrats and Republicans clashed over the issue for weeks, even allowing a 43-day government shutdown in their attempt to preserve the credits. Another vote could happen in the House this month, though the outcome remains uncertain.
In Arizona alone, approximately 380,000 people relied on these subsidies. Nationally, the credits helped about 4.8 million Hispanic Americans, roughly one-third of all marketplace enrollees.
Cactus Politics reported that fewer Hispanic families went without insurance between 2020 and 2025, partly because of this financial assistance.
Without the subsidies, costs will jump significantly, with households estimated to pay over $13,000 more annually. A typical family of four earning $64,000 per year might see their costs increase by around $2,600, five times what they previously paid.
People wanting coverage starting February 1st have until January 15th to enroll, though they'll face these higher prices unless lawmakers act.
