Healthcare Showdown: ACA Subsidy Battle Continues in Congress

A federal healthcare subsidy tied to the pandemic is likely set to expire as a Republican-backed bill advances in the House. Attempts by Democrats to extend the subsidy were thwarted, and its expiration could mean higher costs for 24 million Americans who use the ACA program.

In a significant legislative move, the U.S. House of Representatives passed a Republican healthcare bill, effectively setting the stage for the expiration of an expanded federal healthcare subsidy born from the pandemic. The 216-211 vote is likely Congress's last decision on healthcare this year.

Democrats made a procedural effort to extend the Affordable Care Act (ACA) subsidy for three years, supported by four Republicans; however, the initiative was blocked. The pending expiration could lead to increased insurance costs for the 24 million Americans who rely on the Obamacare program by January 1.

Republicans supporting the new bill argue it aims to lower premiums selectively while reducing subsidies overall. Debate continues with partisan tensions high and broader implications for upcoming elections looming, as millions brace for possible premium hikes and diminished coverage options.

(With inputs from agencies.)