Rep. Sharice Davids (KS-03) Announces Support for New Bipartisan Action to Protect Affordable Health Care, Prevent ACA Premium Spikes

Today, Representative Sharice Davids announced her support for the Bipartisan Health Insurance Affordability Act, a two-party solution to prevent a sharp jump in health care costs on January 1 due to the scheduled expiration of the Affordable Care Act’s (ACA) health care tax credits. The new plan, a compromise for both parties, would extend the tax credits through 2027.

Today, the U.S. Senate plans to vote on two partisan health care bills, one pushed by Democrats and the other by Republicans. Rather than pushing legislation that cannot pass either chamber of Congress, Davids is urging her colleagues to work together, understand that compromise is necessary, and deliver results for hardworking families.

“This isn’t everything I’ve asked for, but it’s exactly how Congress is supposed to work — finding common ground and making life more affordable for families,” said Davids. “These tax credits keep health care costs low. Extending them now will prevent premiums from skyrocketing, ensuring millions of Americans don’t lose coverage. Working together across party lines is the only way to deliver results for hardworking Kansans.”

Because Congress has failed to act on Davids’ previous calls to extend ACA tax credits, Kansans will see their monthly premiums increase by an average of 77 percent, potentially forcing 4.2 million Americans off their health insurance. The new plan would stop premiums from soaring, helping families keep the coverage they rely on.

Key Provisions of the Bipartisan Health Insurance Affordability Act:

• Keeps health care affordable: Extends the ACA enhanced premium tax credits through 2027, keeping monthly premiums low for millions of Americans.
• Protects patients from fraud: Strengthens oversight of insurance agents and brokers, including audits, verification of enrollments, and penalties for providing false information.
• Improves transparency in drug pricing: Requires pharmacy benefit managers (PBMs) to pass drug rebates directly to plans and employers and increases reporting on how drug costs are set, helping lower prescription costs and prevent harmful markups.
• Gives more flexibility to families: Expands Health Savings Account (HSA) eligibility to people on lower-cost ACA plans and allows prepayment of premiums for additional savings.
• Makes enrollment easier and safer: Extends the open enrollment period, ensures enrollees are notified of any changes, and automatically removes deceased individuals from coverage.
• Strengthens federal oversight: Directs government offices to monitor compliance, study transparency, and report on prescription drug costs to ensure better protections for patients and taxpayers.

Even though open enrollment has begun, Congress can still take action to prevent the steep premium increases Kansans face in 2026. Forecasting models show that extending the enhanced ACA tax credits now could still slow or reduce the premium hikes.

Because of the expected price hikes, many healthy people may be forced to drop coverage, leaving the insurance pool made up of individuals with chronic conditions or high-cost medical needs. That would drive premiums even higher for those who remain on ACA plans, compounding the financial burden on families who can least afford it.

Davids has sounded the alarm on this issue for more than a year, supporting a proposal to extend the tax credits permanently and offering multiple amendments to Republicans’ budget law to prevent these price hikes. She previously urged Congressional leadership to include an extension of these health care tax credits in a government funding bill, demanded a vote in the U.S. House, and hosted multiple press conferences with Kansans, who rely on these savings to afford other everyday necessities.