Rachel Mosley and Others Face Tripled Health Insurance Costs
Rachel Mosley, a preschool teacher from Florida, recently discovered that her family’s health insurance is about to triple once government subsidies expire next year.
Mosley, along with nearly 20 million middle-class Americans, has benefited from subsidies related to the Affordable Care Act (ACA), or “Obamacare,” under the current administration.
However, under President Donald Trump’s government, these subsidies are set to expire by the end of the year, and Republicans have refused to negotiate their extension, which Democrats advocate for.
The Budget Battle and Healthcare Costs
This contentious issue is at the heart of the ongoing budget dispute between both parties in Congress, causing a federal government shutdown for over a month.
As open enrollment for health insurance begins in November, thousands of households across the country are learning about their new premiums.
“I cried on my porch at home,” Mosley, a 46-year-old mother of five earning $24,000 annually as a part-time preschool teacher, told AFP.
Combined with her husband’s income as a part-time medical assistant, health insurance would consume “one-third” of their total income. “I can’t even imagine how we could afford it,” she added.
Mosley’s part-time work stems from a heart attack she experienced last year, despite believing she was in good health. Cancelling insurance entirely is not an option.
“If I had to go to the hospital for a heart attack or stroke… how would I pay the bill? I genuinely wouldn’t know how,” she said.
Nationwide Impact of Rising Healthcare Costs
In the U.S., nearly half of workers receive health coverage through their employers. The rest—employees of small businesses, independent contractors, part-timers, or freelancers—rely on “Obamacare”.
The subsidy program was designed to “narrow the gap” between high healthcare costs and what people can realistically afford, explained Mark Shepard, a Harvard economist and public policy expert.
Subsidies increased during the COVID-19 pandemic but may now disappear, even as living expenses continue to rise.
According to the Kaiser Family Foundation (KFF), a health public policy research center, the expiration of subsidies could lead to an average premium increase from $888 in 2025 to $1,906 next year.
The Congressional Budget Office estimates that this dramatic increase will cause four million Americans to lose their health insurance.
“There will be a societal burden,” Shepard said, as people continue to seek emergency care without insurance. When this happens, individuals accumulate debts easily reaching tens of thousands of dollars, and hospitals or local governments often bear the cost burden when people cannot pay.
Calls for Action
Mosley has contacted and written to her state’s Republican senators, urging them to reconsider their stance without response.
Across the country, Claire Hartley, owner of a yoga studio in California, will see her premiums rise from $1,100 to $2,022 next year.
Hartley implores her Democratic representatives to “stand firm,” arguing that the longer Republicans wait to act, the more people will receive these notification of premium hikes, potentially increasing pressure on lawmakers for change.
Key Questions and Answers
- What is the issue? Government subsidies for health insurance under the Affordable Care Act (ACA) are set to expire, causing premiums to skyrocket for millions of Americans.
- Who is affected? Approximately 20 million middle-class Americans, including part-time workers, small business employees, freelancers, and contractors, rely on these subsidies.
- What are the consequences? Without subsidies, health insurance premiums could triple or more, making it unaffordable for many and potentially causing four million Americans to lose coverage.
- What are people doing about it? Individuals like Rachel Mosley and Claire Hartley are reaching out to their representatives, urging them to extend subsidies or find alternative solutions.
