In the best versions of public policy, the best solutions are often found to be the simplest. They solve problems without overreach and huge bureaucratic growth, they empower individual choice, and they deliver meaningful results. That is precisely what the Enhanced Premium Tax Credits accomplish, and why Congress must extend them before they expire this year.
Enhanced Premium Tax Credits are among public policy’s best-kept secrets, an issue affecting millions of Americans, yet few know it exists. Floridians need to understand the high stakes before it is too late.
For years, small business owners and self-employed individuals struggled to afford health insurance on their own. I have led many organizations where I experienced the annual pursuit of affordable health care policies for our employees. It was extremely difficult and always more expensive. This changed in 2021, when Enhanced Premium Tax Credits ensured that premiums for health plans purchased through the individual Marketplace would not exceed 8.5% of a family’s household income.
Now, more than 4 million Floridians benefit from affordable health coverage due to these tax credits. Payments are made directly to private health plans, significantly lowering the monthly premiums consumers pay. Locally, average premiums have dropped from over $500 to just $73 per month. Many people do not even realize they are receiving a tax credit; they just see a smaller bill.
Throughout my career, I’ve seen firsthand how access to affordable health coverage positively affects student success and workforce participation. Many American adults change careers multiple times, and the prospering Florida economy excels at creating pathways that enable them to pursue higher-paying jobs and improve their lives.
Yet, when Floridians return to school for new careers perhaps as nurses, educators, or skilled tradespeople, they often find that health insurance is required for all students. Since these individuals usually lack access to employer-sponsored insurance, the individual Marketplace, made affordable through Enhanced Premium Tax Credits, may be their only viable option.
Across Florida, these tax credits have transformed unaffordable premiums into manageable monthly expenses. They provide vital support for Floridians juggling responsibilities like caring for family members or attending school, helping them maintain coverage and avoid devastating medical debt.
If Congress were to let these health care tax credits expire, Marketplace enrollees would face difficult decisions. They can either cut essential expenses elsewhere or drop health insurance entirely. When uninsured people get sick or injured, they often delay treatment until conditions worsen, leading them to hospital emergency rooms, costing them even more of what they cannot already afford. This results in higher uncompensated care costs, strains on hospitals, and increased insurance and tax burdens for everyone. Ultimately, we all bear the costs.
Enhanced Premium Tax Credits promote personal responsibility rather than dependency. They enable hardworking Floridians to access private insurance coverage instead of relying on public programs like Medicaid. This is sound fiscal and public policy. Early projections indicate that Florida could lose nearly 50,000 jobs and see a $5.5 billion drop in state GDP by 2026 if these credits expire.
This isn’t partisan. It is preserving a practical, proven solution that helps Floridians stay insured without financial hardship. We should not wait until premiums spike or coverage disappears. Congress must extend the Enhanced Premium Tax Credits now.
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