What are enhanced premium tax credits?
Enhanced premium tax credits were created in 2021 through the American Rescue Plan Act and extended through 2025 by the Inflation Reduction Act. These expanded savings lowered monthly health insurance premiums for most people enrolled through the Marketplace. They expanded the amount of financial assistance people could receive and extended eligibility to individuals at or above 400 percent of the federal poverty level.
Why are premiums going up for 2026?
Premium rates tend to increase modestly from one year to the next. With the cost of health care increasing due to inflation, there has been some increase to premiums across the board to offset, although Oregon premiums are increasing for 2026 at a lower rate than other states due to the Oregon Reinsurance Program, with
Oregon’s average increase of 9.7 percent for 2026. This is slightly higher than last year’s average increase of 9.3 percent.
The enhanced premium tax credits are set to end on December 31, 2025. This means that for 2026, many Oregonians will pay higher monthly premiums. While regular premium tax credits remain available, the additional savings provided by the enhanced version will no longer apply.
Why am I not receiving a premium tax credit for 2026?
There are three main reasons you may no longer qualify for a premium tax credit:
- Your household income is over 400% of the Federal Poverty Level (FPL).
During the enhanced premium tax credit period, the income cap to qualify for help was temporarily removed. Beginning January 1, 2026, that cap returns, meaning people with higher incomes may no longer be eligible. The income cap is returning to 400 percent of the FPL, which is the original Affordable Care Act limit. - You are a lawfully present immigrant with income below 100% of the FPL.
Under the enhanced rules, some immigrants with lower incomes qualified for tax credits. Starting in 2026, that temporary expansion will end. Individuals may still qualify for Oregon Health Plan (OHP) benefits regardless of immigration status if they meet other eligibility requirements through the Healthier Oregon Program. - The health insurance premiums available to you are considered affordable.
Under the Affordable Care Act, the amount of premium tax credits you qualify for is based largely on the cost of the second-lowest cost Silver plan available to you. If that plan costs less than a set percentage of your income, you may qualify for $0 in premium tax credits. This is most common for people under 35, with incomes of about $58,000 or higher, who live in urban areas.
Can I still buy health coverage through OregonHealthCare.gov if I don’t qualify for premium tax credits?
Yes. Anyone who is lawfully present (except DACA recipients) and lives in Oregon can still purchase a plan through OregonHealthCare.gov, even without premium tax credits. You would pay the full premium amount.
Will Congress extend the enhanced premium tax credits?
It’s uncertain. Congress needs to act to extend the enhanced premium tax credits, and they could do so at any time. If the credits are extended, OregonHealthCare.gov will share updates through email, text messages, and social media. Please read any messages you receive from us carefully—they will include details about what steps to take if you qualify for new savings.
What if I can’t afford my health insurance?
Before you cancel your plan, we strongly recommend contacting a licensed insurance agent or community partner. Their help is free.
They can help you:
- Use the Window Shopping Tool to compare plans for 2026 – you may find another plan will better fit your budget
- Adjust coverage to fit your budget – sometimes changing from a Gold plan to a Silver or Bronze plan can give you the coverage you need but save you money each month
- Find out if you qualify for other programs like OHP or OHP Bridge
Are there other changes I should know about?
There are no new federal changes directly tied to the end of the enhanced premium tax credits, but state and federal health coverage programs continue to evolve. For the latest updates, visit OregonHealthCare.gov.