Bold claim: ACA subsidies are set to shape both wallets and health coverage, and the clock is ticking on a decision that could touch millions. But here’s where it gets controversial: who gets the credit won’t matter if the policy works for people who rely on it.
Sen. Bill Cassidy of Louisiana urged Congress to pass a solution for the expiring subsidies tied to the Affordable Care Act (ACA), emphasizing that the political credit should be incidental to delivering solid policy. In an appearance on NewsNation’s The Hill Sunday, Cassidy said, “Good policy is good politics. Let’s not have a Republican plan or a Democratic plan, let’s have an American plan. If we address it, I don’t care who gets the credit.”
As chair of the Senate Health, Education, Labor and Pensions Committee, Cassidy has previously co-sponsored a proposal to redirect tax-credit money toward health savings accounts (HSAs) paired with bronze or catastrophic ACA marketplace plans. The idea would shift funds from immediate premium help into savings and more basic coverage options.
That particular measure, along with a separate Democratic proposal to extend subsidies for three years, stalled in the Senate earlier this week. The enhanced subsidies—initially enacted during the COVID-19 emergency and extended by the 2022 Inflation Reduction Act—are scheduled to lapse at month’s end.
While Cassidy reaffirmed his support for the HSA-focused approach during his Sunday comments, he also mentioned the possibility of a broader accommodation on the subsidies’ expiration. “Maybe we can still strike a deal. That’s what I’m pushing for, that’s what I’m hoping for [and] I think we can,” he said.
Without a permanent extension, the Congressional Budget Office projects premium costs could rise by about 4.3 percent in 2026, 7.7 percent in 2027, and roughly 7.9 percent on average from 2028 through 2034. The CBO also warns that the number of uninsured people could climb by an average of 3.8 million across 2026–2034 if credits aren’t extended .
Cassidy remains hopeful a compromise can be reached before year’s end. The physician-senator emphasized his goal of finding common ground with colleagues across the aisle to address both rising premiums and out-of-pocket costs for ACA enrollees. “Let’s just take care of the affordability issue for the enrollee in [the ACA], and do it for the out-of-pocket as well as the premium,” he asserted.
What’s your take on tying subsidies to HSAs and bronze plans versus extending the current credits? Do you think a bipartisan deal is feasible, and what trade-offs would you accept to protect patient access and affordability? Share your thoughts in the comments.
Source notes: Cassidy’s position and the policy details reflect discussions around the ACA subsidies extension and the proposed reallocation of funding toward HSAs, with current projections from the Congressional Budget Office.
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