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Health Insurance Spike Will Hit 2026 Farm Budgets, Farmers Say

By Ryan Hanrahan

Progressive Farmer’s Chris Clayton reported that “Iowa farmers warned Monday that the expiration of enhanced premium tax credits under the Affordable Care Act (ACA) will sharply raise health insurance costs in 2026, forcing painful tradeoffs that could slow farm growth, strain rural hospitals and push some producers out of business altogether.

“Monday was the deadline to enroll in ACA plans for 2026 coverage. The deadline comes as people signing up for plans are seeing premium spikes, and it’s expected enrollment will dramatically fall without enhanced premium tax credits,” Clayton reported. “Nearly everyone enrolled in ACA marketplace plans will face higher out-of-pocket costs next year as the enhanced credits expire, affecting about 4 million people in rural America and an estimated 24 million Americans nationwide.”

AgWeb’s Rhonda Brooks reported that “the impending cost surge could affect thousands of U.S. farmers who currently rely on the ACA marketplace for their health insurance, according to the non-partisan KFF (formerly Kaiser Family Foundation), a health policy organization. KFF estimated in 2023 that 27% of ‘farmers, ranchers, and other agriculture managers” relied on individual ACA market coverage.’”

“During a livestream event on Monday, members of the Iowa Farmers Union who rely on marketplace coverage said the refusal to extend the enhanced subsidies will expose families to sudden premium spikes — in some cases exceeding $20,000 a year — without addressing the underlying cost of health care,” Clayton reported. “Farmers and other self-employed workers are among the most vulnerable because they lack access to employer-based insurance.”

Source : illinois.edu

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