One In Five Pennie Customers Drop Health Care Coverage After ACA Tax Credits Expire

HARRISBURG, Pa. (WPVI) -- One in five enrollees of Pennie, Pennsylvania's official health insurance marketplace, dropped their health coverage because of skyrocketing costs associated with expired federal tax credits.

The latest open enrollment period showed 85,000 Pennsylvanians did not renew coverage for 2026.

Pennie officials say the reason for the change is the cost increases associated with the expiration of Affordable Care Act tax credits, which Congress did not extend.

Without those tax credits, Pennie enrollees were faced with an average price increase of 102% to remain in their plan for 2026.

At the start of Pennie Open Enrollment, Pennie was pacing ahead of last year's enrollment numbers. Pennie officials said Monday, once enrollees saw the increase in premiums, people began to disenroll.

Nearly 18% of enrollees dropped coverage altogether. Terminations were highest among older and rural Pennsylvanians and those with incomes just above the Medicaid level.

Around 33,000 Pennsylvanians enrolled in "Bronze" plans this year - a 30% increase. Those plans have lower monthly premiums but often have thousands of dollars more in out-of-pocket costs.