COLUMBIA, S.C.

Health insurance costs could rise significantly for many South Carolinians in the upcoming year, as Congress did not extend the Affordable Care Act (ACA) subsidies that ended on December 31.

Across the nation, approximately 5 million individuals who signed up through the ACA Marketplace might face increased monthly premiums. In South Carolina alone, insurance brokers estimate that between 75,000 and 100,000 residents may have to choose between paying full premiums or going uninsured.

“Typically, premiums go up by about 15% each year,” noted Joel Rowley, an insurance broker based in Columbia. While final enrollment data for January hasn’t been released, early projections suggest a significant economic impact.

Rowley shared an example illustrating how costs can escalate quickly. Last year, a 55-year-old man benefited from a $375 monthly subsidy on his $714 plan. Without that subsidy, his premiums might rise by around $100, meaning he’ll have to cover the entire amount himself.

Some consumers are inquiring about catastrophic health insurance, which usually features lower monthly premiums but comes with high deductibles. These plans place most medical costs onto the policyholder until the deductible is met, which can be unfeasible for those needing regular care.

Many policyholders are hopeful that Congress will step in to restore the subsidies. There’s a petition circulating that might push for a vote to temporarily reinstate the subsidy while a longer-term solution is discussed among House members.

Lisa Strauss, who depends on an ACA plan, mentioned that her monthly premium would surge by about $400 without the subsidy, which would exceed her mortgage payment.

“We have no other option,” Strauss said. “If I encounter a medical issue without care, I could end up bankrupt. I looked into catastrophic plans, but they don’t really help because of the steep premiums. I’m putting nearly all my paycheck towards this.”

Insurance brokers are cautioning that many might lose their coverage entirely if Congress does not act. A rise in uninsured rates could strain hospitals, increase uncompensated care, and ultimately elevate healthcare costs for everyone.

The deadline for any changes regarding ACA coverage is January 15. Experts suggest taking the following actions as soon as possible:

• Compare plans on the ACA Marketplace, and make sure to renew or modify your coverage by January 15.
• Reach out to a local insurance broker or certified enrollment navigator for assistance at no cost.
• Check your Medicaid eligibility, as some individuals may qualify based on income.
• If considering a catastrophic plan, ensure you clearly understand the high deductibles and limited coverage.