Lawmakers block GOP and Democratic health care plans ahead of Obamacare premium hikes
WASHINGTON, DC: The Senate on Thursday, December 11, rejected two competing proposals to address expiring 'Affordable Care Act' subsidies, leaving lawmakers without a path forward just weeks before premiums are expected to rise significantly for millions of Americans.
Senators voted down a Republican plan to shift funding into expanded health savings accounts and a Democratic plan to extend COVID-era insurance subsidies for three years.
Both measures fell short of the 60 votes needed to advance. The setback comes as the December 31 expiration date approaches, with no bipartisan compromise in sight.
Senate blocks both parties' proposals
In back-to-back votes, senators rejected the Republican plan from Senator Bill Cassidy of Louisiana and Mike Crapo of Idaho, as well as a Democratic proposal introduced by Senate Majority Leader Chuck Schumer. Both failed 51-48, largely along party lines.
The Cassidy-Crapo bill sought to replace the expiring tax credits with pre-funded health savings accounts and provide up to $1,500 for eligible individuals.
Democrats opposed the measure, citing restrictions including limits related to abortion, gender-affirming care, and immigration status. Ahead of the vote, Schumer called the GOP proposal "junk insurance."
Four Republicans, Lisa Murkowski, Susan Collins, Dan Sullivan and Josh Hawley, joined Democrats in supporting debate on the Democratic bill extending Affordable Care Act subsidies for three years.
No Democrats backed the GOP plan.
Schumer warned the lapse would have "millions and millions lose their health care coverage altogether."
"Tens of millions more will have much worse coverage and have to switch their plans, switch doctors, pay higher deductibles, higher copayments, not even be able to get the cures and the drugs they need," he said.
Insurance companies have begun notifying customers about a projected increase in January if Congress fails to act. "There’s a crisis, a huge crisis that will hit us January 1," Schumer said.
Premium deadline intensifies pressure on Congress
The expected hike in premiums has raised concerns among lawmakers from both parties, particularly with midterm elections approaching.
Republicans control both chambers and the White House, putting pressure on them to deliver a solution as voters report rising costs as a top concern.
Republicans argue that their proposal would help families manage out-of-pocket expenses, but even with the $1,500 credit, patients on low-premium plans could still face thousands before coverage begins.
Democrats have pushed for a clean extension of subsidies, citing the limited time before Congress recesses next week.
In the House, every Democrat has signed a discharge petition to force a vote on extending the subsidies. A bipartisan effort led by Rep Brian Fitzpatrick seeks to extend them through 2027, though GOP leadership has not endorsed any plan.
