FORT WAYNE, Ind (WOWO) — A Republican senator is warning that millions of Americans could face steep health insurance premium increases as the Senate prepares for two key votes on the future of Affordable Care Act subsidies.
Democrats are expected to push forward Thursday with a proposal to extend enhanced ACA subsidies for another three years. The subsidy expansion — first enacted during the COVID-19 pandemic under the Biden administration — significantly increased federal assistance but added what Republicans describe as “trillions” in long-term costs.
“We are years removed from COVID and the shutdowns,” the senator said in an interview Wednesday. “Their plan costs trillions of dollars and does nothing to help people on private, employer-based plans who are watching their premiums skyrocket.”
Republicans plan to counter with their own bill focused on health savings accounts and cost-sharing reforms. The legislation, led by Sens. Bill Cassidy of Louisiana and Mike Crapo of Idaho, would redirect ACA subsidy funds into health savings accounts and impose income limits on assistance. The bill also includes measures aimed at reducing fraud and eliminating federal subsidies for undocumented immigrants, abortions and gender-affirming surgeries.
Still, the senator acknowledged that neither proposal is expected to reach the 60-vote threshold needed to pass the chamber.
“Republicans are begging our Democrat colleagues to come to the table and do something bipartisan,” he said. “They’re saying, ‘No, we’re just going to extend these subsidies.’ They don’t care about reforms or bringing down premiums.”
He added that Republicans broadly support additional ideas — including expanding competition by allowing insurance purchases across state lines — but said Democrats remain unwilling to negotiate beyond an extension of the current subsidies.
According to the senator, Republicans argue that the ACA fundamentally reduced competition in the insurance marketplace, driving up costs over time. “The reason we’re getting hit so hard right now is the long-term effect of Obamacare’s failures,” he said.
Asked what happens if Congress fails to act before subsidies expire, the senator said the consequences would be felt immediately.
“People get hurt,” he said. “I can’t believe there aren’t seven or eight Democrats who will come over and work with us on something bipartisan. We’re facing a health-care cost crisis, and it’s all a result of Obamacare.”
The senator also expressed frustration that, even with Republicans controlling Congress and the White House, Democrats in the Senate can still block legislation under current filibuster rules. “Seven Democrats can hold us hostage,” he said. “We can’t get anything done on spending cuts or health care.”
The Senate is expected to take up both proposals Thursday. Votes are likely to fall along party lines.
