Eliminating enhanced premium tax credits would make health insurance unaffordable for millions, leading to coverage losses, job cuts, and billions in lost state and local revenue.

How Ending ACA Tax Credits Will Cost Jobs, Harm State Economies

March 3, 3025

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If lawmakers don’t take action to renew enhanced premium tax credits for marketplace health plans, the impact will likely include substantial job losses and economic pain ([link removed] ) in every U.S. state, according to a new report from the Commonwealth Fund and the George Washington University.

The tax credits, which help people pay premiums for health coverage purchased in the Affordable Care Act’s insurance marketplaces, have made ACA plans more affordable to millions of Americans. But if they’re allowed to expire at the end of this year, analysts estimate that:

- State economies would shrink by $34 billion.
- 286,000 jobs would be lost nationwide.
- State and local tax revenues would decline by $2.1 billion.

Read the report to get the full details, including why states that haven’t expanded Medicaid would be hit hardest.

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Affordable, quality health care. For everyone.

The Commonwealth Fund, 1 East 75th Street, New York, NY 10021

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