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OKLAHOMA CITY – Oklahoma Insurance Department (OID) Commissioner Glen Mulready is alerting Oklahomans enrolled in Affordable Care Act (ACA) Marketplace plans that they could see substantial increases in health insurance premiums beginning in 2026 if federal enhanced Advanced Premium Tax Credits (eAPTCs) are not extended by December 31, 2025.
“A permanent extension of the $338 billion in enhanced federal health insurance subsidies is looking more unlikely,” said Commissioner Mulready. “While there might be other potential solutions considered by Congress this year, Oklahoma’s leaders and citizens need to be prepared for the consequences of these subsidies ending with significant changes in health insurance costs anticipated.”
Approximately 300,000 Oklahomans rely on ACA Marketplace plans for their health insurance coverage. The availability of eAPTCs, introduced under the American Rescue Plan Act (ARPA) and extended through the Inflation Reduction Act (IRA), has led to a significant increase in enrollment between 2021 and 2024.
These subsidies have resulted in a 75% increase in ACA plan enrollment in Oklahoma. Many enrollees pay $0 monthly for coverage through the seven insurance carriers operating in the Oklahoma Marketplace. The average cost of a silver benchmark plan for an Oklahoma enrollee is $58 per month in 2025 with subsidies in place.
“We anticipate that the average cost of a benchmark silver plan in Oklahoma will increase by approximately 65%, jumping from $58 per month to $153 per month in 2026 if the subsidies expire as scheduled,” explained Commissioner Mulready.
This increase is expected to be similar nationwide. The potential premium surge could lead to a significant reduction in the number of insured individuals in the Oklahoma Marketplace, as consumers may choose to transition to Medicaid or become uninsured due to the higher costs.
The exodus of healthier individuals from the Marketplace could further exacerbate premium increases. Younger, healthier individuals are more likely to drop coverage due to affordability concerns. This would lead to an increase in the morbidity factors used by insurers, as well as a premium load for anti-selection, further driving up rates.
“Oklahomans and my fellow elected leaders must understand the potential impact of the expiration of these federal subsidies,” Commissioner Mulready emphasized. "While I am still hopeful Congress can come to a compromise that lessens the impact of the impending tax credit cutoff date, the Oklahoma Insurance Department remains committed to monitoring this situation and providing updates as they become available.”
Media questions or comments should be directed to
Chief of Communications, Liz Heigle
Liz.Heigle@oid.ok.gov | (405) 819-2221
ABOUT OID
The Oklahoma Insurance Department, an agency of the State of Oklahoma, is responsible for the education and protection of the insurance-buying public and for oversight of the insurance industry in the state.
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