The news: As the government shutdown continues, more than three-fourths (78%) of US adults support extending federal funding tax credits for ACA insurance, according to a new KFF survey. That includes 57% of Republicans who support President Donald Trump.
Why it matters: Tax credits are a key part of the current Senate stopgap funding negotiations. Most Democrats are in favor of extending the credits past the end of the year.
- 92% of Democrats surveyed want Congress to extend the credits.
- 82% of Independents are also in favor of the extension, along with 59% of Republicans.
- A majority (70%) of adults who buy their own insurance empathized with the more than 22 million people who receive subsidies, agreeing that if their premiums doubled it would significantly disrupt their household finances.
Yes, and: 39% of adults said President Trump deserves the blame if the tax credits aren’t extended. 37% put the onus on Republicans and 22% blame Democrats in Congress.
Our first take: We think the strong, cross-party public support could sway Republican Senators toward a compromise on the credits. However, if the credits expire, health insurance premiums are expected to increase for subsidized enrollees by 114% from an average of $888 per month to $1,904, per KFF.
Health insurers need to think about the potential sticker shock that premium spikes will cause and proactively communicate with customers about how they’re working with the government to get tax credits extended. They should also provide resources where consumers can get updates and more information.
This is our immediate perspective. We’re actively developing this story throughout the day with more research and data from the EMARKETER database. Our in-depth analysis will be included in our client-only Briefings. Non-clients can click here to get a demo of our full platform and coverage.
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