With enhanced ACA subsidies now expired, average out-of-pocket premiums for Obamacare users are expected to more than double.
- The lapse of enhanced ACA subsidies has shifted more healthcare costs onto consumers, reshaping coverage dynamics in 2026.
- Mark Cuban said higher deductibles are keeping patients paying full drug prices for longer.
- Policy uncertainty remains as Congress debates next steps on subsidies.
UnitedHealth Group, CVS Health, and Molina Healthcare entered 2026 on firmer footing after enhanced Affordable Care Act (ACA) subsidies expired at the start of the year, a shift expected to raise premiums for millions of Americans buying coverage on the exchanges.
Shares of insurers, including UnitedHealth Group, CVS Health, and Molina Healthcare, have finished all three trading sessions of the year in the green, with UnitedHealth touching its highest level in more than three months on Tuesday, CVS reaching nearly two-month highs, and Molina hitting its strongest level in over two months.
Expanded premium tax credits introduced during COVID-19 expanded eligibility beyond traditional income cutoffs and reduced monthly premiums. Their expiration has shifted more costs onto consumers and raised concerns about coverage levels.
What Changed Under The ACA
The subsidies, enacted in 2021, capped premiums at 8.5% of household income for higher earners and eliminated premiums for some lower-income enrollees. With those credits now lapsed, average out-of-pocket premiums for ACA users are expected to more than double, according to a Bloomberg report.
In 2025, over 90% of ACA enrollees were receiving subsidies, when enrollment was about 24 million, up from about 11 million in 2020. The rollback will lead to a reduction in coverage over time and affect insurer risk pools.
Impact On Insurers
In case of a reduction in coverage over time, it could pressure some insurers, particularly those heavily exposed to exchange plans, while larger, diversified players such as UnitedHealth and CVS maintain broader revenue bases across employer-sponsored insurance, government programs, and pharmacy benefit management.
Insurers, including Molina Healthcare, Centene, and Oscar Health, have significant ACA exposure, while UnitedHealth, Elevance Health, and Cigna also participate in the exchanges.
Mark Cuban Calls Out Insurers
Amid the shift, Mark Cuban criticized U.S. healthcare on X, saying higher deductibles force patients to pay full retail prices on brand-name and specialty drugs for longer periods, costing some thousands of dollars more each year.
Cuban said rebates generated during deductible spending often flow to large pharmacy benefit managers owned by insurers, while sicker patients bear the rising costs. He described healthcare companies as “too big to care.”
Political Uncertainty Persists
Democrats, in general, favor extending the enhanced subsidies, while Republicans are split on the issue, and opponents of the extension point to the estimated price tag of more than $300 billion over 10 years.
However, as some districts are bipartisan in their support of the tax credit, and polling indicates broad public support for its continuation, neither the current Congress nor the White House has acted to restore the credits.
How Did Stocktwits Users React?
On Stocktwits, retail sentiment was ‘extremely bullish’ for UnitedHealth, ‘neutral’ for CVS, and ‘bullish’ for Molina Healthcare, with message volume described as ‘high’ for UnitedHealth and ‘normal’ for both CVS and Molina.
Over the past 12 months, UnitedHealth shares are down 30%, CVS shares are up 84%, and Molina Healthcare shares are down 37%.
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