There has been a lot of misinformation out there on Covered CA individual and family premiums increasing next year. We wanted to provide some helpful information to you below:

Will Covered California premiums increase if Congress does nothing?

Short answer: No.

Longer (but still human) answer: Covered California has already accounted for the possible expiration of enhanced premium tax credits in the rates currently being quoted.

That means there is no hidden increase waiting around the corner if Congress does not extend the enhanced subsidies.

What is already included in current rates

The prices you see today on Covered California:

• Reflect finalized insurance carrier rates

• Already assume that enhanced premium tax credits expire at the end of 2025

• Are accurate based on current law

In short: the “what if Congress does nothing?” scenario is already baked in.

What will not happen

Clients will not:

• See a sudden increase later due solely to Congress failing to act

• Get hit with an unexpected premium jump mid-year

The rates currently quoted are the rates clients should expect.

What could happen (the upside)

If Congress does extend or reinstate enhanced premium tax credits:

• Eligible clients could see lower net premiums

• Any change would be a decrease, not an increase

This is one of the rare cases where uncertainty only swings one direction — and it is the good one.

How we are advising clients

Our recommendation is simple:

• Make decisions based on today’s quoted rates

• Treat any future subsidy extension as a bonus, not something to count on

This approach avoids surprises and keeps household budgets predictable.

Bottom line

✔ Current Covered California quotes are accurate on their website.
✔ No additional increase is coming due to subsidy expiration
✔ The only possible future change would be lower costs

We hope this is helpful and provides some guidance on what is happening next year with the enhanced subsidy expiration.