Frankfort, Kentucky, October 29, 2025

Governor Andy Beshear and Congressman Morgan McGarvey are urging Congress to extend enhanced premium tax credits from the Affordable Care Act, set to expire in 2025. Without an extension, nearly 100,000 Kentuckians could face premium increases up to 37% in 2026. This situation raises concerns over health care affordability and access for families relying on Kentucky’s health insurance exchange, Kynect. The open enrollment period for 2026 plans begins on November 1, 2025, emphasizing the need for urgent action from federal leaders.

Kentuckians Face Rising Health Costs Without Extended Tax Credits

Governor Beshear and Congressman McGarvey Press for Action from Congress

Frankfort, Kentucky – Governor Andy Beshear, alongside U.S. Congressman Morgan McGarvey, is sounding the alarm on a pressing issue that could significantly affect health care affordability for many Kentuckians. They are advocating for Congress to extend the Affordable Care Act’s (ACA) enhanced premium tax credits that are set to expire on December 31, 2025. If these credits are not extended, approximately 100,000 Kentuckians may face health insurance premium increases ranging as high as 37% starting in January 2026.

The potential expiration of these tax credits represents a significant blow to families who rely on Kentucky’s health insurance exchange, Kynect. For instance, a family of four earning $130,000 could see their annual premiums increase by over $12,000. Likewise, a 60-year-old couple with an income of $85,000 may experience a staggering rise of around $24,000 in annual premiums. Such drastic inflation in health care costs could compel many to reconsider their insurance coverage.

Urgency for Federal Action

Governor Beshear has highlighted the urgency of the situation, emphasizing that without an extension of these tax credits, many Kentuckians would have to make tough choices regarding their health coverage. Congressman McGarvey echoed this sentiment, arguing that failing to reinstate these tax incentives could impact every Kentuckian’s access to affordable health care.

Background on Tax Credit Enhancements

The ACA’s enhanced premium tax credits were initially implemented in 2021 through the American Rescue Plan Act to bolster health insurance affordability. These enhancements allow households earning more than $60,000 annually, or couples earning above approximately $82,000, to access financial assistance for their health coverage. However, should Congress choose not to act, these higher-income individuals would no longer be eligible for assistance, although they could still opt to purchase full-priced plans.

Advocacy from State Leaders

In a concerted effort to push for the extension of these credits, Governor Beshear, along with 17 other governors, has reached out to Congressional leaders. They collectively underscored the importance of maintaining affordability in health care for many Americans, warning that failure to do so could lead to increased premiums and diminished access to necessary care.

Upcoming Enrollment Period

As stakeholders monitor the situation closely, it’s important to note that the open enrollment period for 2026 health insurance plans is set to commence on November 1, 2025. This timeline underscores the necessity for swift Congressional action to prevent the impending premium increases and ensure continued access to affordable health care options for Kentuckians.

Conclusion

The potential expiration of the ACA’s enhanced premium tax credits poses a significant threat to health care affordability for Kentuckians. With nearly 100,000 individuals at risk of steep premium increases, it’s crucial for Congress to take timely action. Local entrepreneurs and small-business owners thrive in an environment where health care is accessible and affordable, a fundamental principle that supports personal achievement and community growth. As Lexington’s economy continues to flourish, let us stay informed and engaged in advocating for equitable health care solutions for all.

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Author: STAFF HERE LEXINGTON KY STAFF

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