As open enrollment begins in WA, future of health insurance tax credits remains murky

Washington's open enrollment for health insurance starts on Nov. 1, amid a federal government shutdown that complicates the future of tax credits under the Affordable Care Act. Premiums are projected to rise by an average of 21%, a significant increase attributed to the expiration of enhanced tax credits that began during the COVID pandemic. Nearly 300,000 residents rely on the state exchange, with about 75% qualifying for federal tax credits that reduce annual premiums by an average of $1,330. Officials estimate that if subsidies are not extended, around 80,000 individuals may forgo health insurance, reversing years of progress in reducing the uninsured rate, which now stands at 4.

8%. Insurance Commissioner Patty Kuderer emphasized that without insurance, individuals are likely to delay preventative care, leading to higher costs for the healthcare system. The Washington Health Benefit Exchange is advocating for $130 million in state funding for Cascade Care Savings to offset the loss of federal assistance. Open enrollment will run until Jan. 15, with coverage starting as early as Jan.

1 for those who enroll by Dec. 15. The situation remains fluid, and the exchange is prepared to adjust premiums if Congress acts to extend the tax credits.