The number of Michigan residents enrolling in Affordable Care Act (ACA) health plans has decreased by approximately 25,000 this year, a decline attributed to the expiration of tax credits designed to ease insurance premium costs. The expiration of these tax credits at the end of 2025 follows a decision by congressional Republican leaders to not hold a vote on their extension, consequently leading to substantial increases in premiums for millions.
According to Dianne Byrum, director of Protect Our Care Michigan, the situation has escalated into a national crisis, with some individuals facing annual premium increases amounting to thousands of dollars. January 3 data from the Centers for Medicare & Medicaid Services indicates that 491,565 Michigan residents signed up during the most recent enrollment period for 2026, a drop from the 516,093 enrollments recorded the previous year.
The deadline for this year’s open enrollment was January 15. Byrum highlights the financial pressures confronting middle-class Americans, stating, “There’s an affordability crisis in America for middle-class working people. And this is at the same time that they’re paying more for groceries, more for rent, more for utilities. Across the board, they’re getting squeezed and squeezed and squeezed. It’s getting very difficult for them to make ends meet.”
Anita Fox, Director of the Michigan Department of Insurance and Financial Services (DIFS), expressed her concerns in a statement to Michigan Public, noting it’s “disappointing, but not surprising, to see that enrollment during this open enrollment period is declining, based on the data available so far.” She further explained, “Without action on the enhanced tax credits, Michiganders who rely on HealthCare.gov for their health insurance will face higher prices, and many risk losing coverage altogether.”
Recently, a bill aiming to extend the ACA tax credits for an additional three years was passed in the U.S. House with bipartisan support. The decision now rests with the Republican-controlled Senate, where Majority Leader Senator John Thune of South Dakota holds the power to determine whether it will be considered.
Byrum underscores the importance of passing this legislation, emphasizing that it is vital to “give immediate relief instead of ripping the guts out of people’s ability to just provide for their families and have a chance at a healthy life in the American dream.”
Without this legislative action, Byrum anticipates that Michiganders will continue to face challenges in securing health insurance, potentially leading to increased reliance on emergency healthcare services. She warns of significant repercussions for hospitals, stating, “You’re talking about eliminating the healthcare policy of the United States in just a few short months. And the ripple effects on that in the system is going to be catastrophic.”
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