The Dates
Open enrollment for 2027 Marketplace coverage begins 1 November 2026.
To have coverage starting 1 January 2027, you generally need to enrol by 15 December 2026. The federal deadline for the full window has been subject to rule changes, so confirm the closing date on HealthCare.gov or your state exchange rather than relying on last year’s.
Nineteen states plus the District of Columbia run their own marketplaces, and most of them extend past the federal deadline. If you live in one, you may have more time than the federal date suggests.
What Changed, and Why Your Premium Went Up
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This is the part that matters most this year, and it affects millions of people.
The enhanced premium tax credits, introduced under the American Rescue Plan and extended by the Inflation Reduction Act, expired on 31 December 2025. Congress did not renew them. The House passed a three-year extension in January 2026, but it has not become law.
Two things follow from that.
The subsidy cliff is back
Between 2021 and 2025, there was no hard income ceiling on subsidies. Anyone whose benchmark premium exceeded 8.5% of income received help, whatever they earned.
That is gone. Premium tax credits are once again limited to households earning between 100% and 400% of the federal poverty level. Above 400%, there is no credit at all.
It is a cliff rather than a slope. Earning one dollar over the threshold means losing the entire subsidy, not a reduced one. For 2027 coverage, based on the 2026 poverty guidelines, 400% works out to roughly $63,840 for one person and $132,000 for a household of four in the 48 contiguous states.
Everyone below the cliff pays more too
The enhanced credits did not just remove the ceiling. They also increased the subsidy at every income level below it. With them gone, people who still qualify are paying a larger share of income than they were.
Premiums themselves have risen sharply on top of that. Marketplace premiums increased roughly 26% for 2026, and insurers filed preliminary 2027 rate requests averaging around 14% to 15% higher again nationally.
Insurers cite the subsidy expiry itself as one cause, on the reasoning that healthier people drop coverage when it gets expensive, leaving a smaller and sicker pool. Rising drug and hospital costs account for the rest.
The Mistake That Costs the Most
If you do nothing, the Marketplace will auto-renew you into a plan. That sounds convenient. It is where most of the expensive mistakes happen.
Auto-renewal carries forward whatever income figure you last reported. It does not know your income changed.
If your income went up during 2026 and you do not update it, your subsidy is calculated on a number that is too low. You will receive more credit than you are entitled to, and you will owe the difference back when you file your taxes.
If your income went down and you do not update it, you receive less help than you qualify for, every month, all year.
The fix takes about fifteen minutes. Log in between 1 November and 1 December, update your income estimate for 2027, then either confirm your plan or compare alternatives.
Your Subsidy Can Change Even If Your Income Does Not
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Premium tax credits are calculated against the second-lowest-cost Silver plan in your area, known as the benchmark. That benchmark changes every year as insurers reprice and enter or leave markets.
So your subsidy can rise or fall even when your income is identical to last year. With the 2027 rate filings fully reflecting the reduced subsidy structure, the benchmark has moved materially in many counties.
The same plan name is also not necessarily the same plan. Several large carriers narrowed provider networks during 2026. Different doctors, different drug tiers, different total cost, same name on the paperwork.
If You Are Now Over the Cliff
Free and trusted resources to help you take the next step.
Federally qualified health centers offer care on a sliding fee scale. You pay based on your ability, even without insurance.
Find a ClinicPatient assistance programs from drug manufacturers can provide medications at no cost if you meet income guidelines.
Find Rx AssistanceHealth program enrollees often qualify for SNAP, housing assistance, and utility bill help. Screen for everything.
Free Eligibility CheckThese are recommended resources based on the topic of this article. We only suggest free, official, or widely trusted services.
Losing a subsidy entirely is a genuine financial shock. A few things are worth knowing before you drop coverage.
Your subsidy is based on your estimated 2027 income, not your 2026 taxes. If your income is variable, that estimate is yours to make honestly, and legitimate reductions to your modified adjusted gross income can matter more than usual this year.
Bronze plans with a health savings account may be worth reconsidering if you were previously in Silver for the cost-sharing reductions, which are only available on Silver plans and only below 250% of the poverty level.
Check Medicaid first. If your income dropped, you may be below your state’s Medicaid threshold rather than above the subsidy cliff. Medicaid enrolment is open year-round, not just during this window. Our Medicaid guide covers the state by state limits.
Some states have their own programmes. A number of state-run marketplaces have introduced reinsurance schemes or state-funded subsidies specifically to soften this. If you live in one, your position may be better than the federal picture suggests.
What is not worth doing is going uninsured. The plans advertised as cheaper alternatives outside the Marketplace are frequently short-term or limited-benefit products that do not cover pre-existing conditions and have annual caps.
If You Miss the Deadline
Missing the window does not leave you without options for the whole year.
A Special Enrollment Period opens after a qualifying life event, and you generally have 60 days from the event to enrol. Qualifying events include losing other health coverage, getting married, having a baby, adopting, moving to a new area, and certain income changes.
Losing job-based coverage is the most common one. If you are in that position, our guide on what to apply for after losing a job covers how the Marketplace compares to COBRA, which is often several times more expensive.
Medicaid and CHIP have no enrolment window. If your income is near or below your state’s threshold, you can apply on any day of the year.
A Practical Checklist
Ready to apply for healthcare coverage?
Thousands of people miss benefits they qualify for. Check now and see your estimated monthly amount.
Check My Benefits in 2 Minutes →- From 1 November: log in and update your household income estimate for 2027 before anything else.
- Check whether your household is above or below 400% of the poverty level, since that determines whether you get any credit at all.
- Compare plans rather than accepting the renewal. The benchmark moved.
- Confirm your doctors and medications are still covered under the 2027 version of your plan.
- Compare total annual cost, not the monthly premium alone. Deductibles and out-of-pocket maximums matter more when subsidies are smaller.
- If your income fell, check Medicaid before assuming you need a Marketplace plan.
- Enrol by 15 December for coverage starting 1 January.
Frequently Asked Questions
When does ACA open enrollment start for 2027?
1 November 2026. Enrol by 15 December for coverage beginning 1 January 2027. Confirm the closing date on HealthCare.gov or your state exchange, as the federal deadline has been subject to rule changes and most state marketplaces extend it.
Are the enhanced subsidies coming back?
Not as of now. They expired on 31 December 2025. The House passed a three-year extension in January 2026 but it has not become law. Insurer rates for 2027 were filed and finalised months ago, so even an extension would not change the underlying premiums.
What is the income limit for an ACA subsidy in 2027?
Between 100% and 400% of the federal poverty level. Based on the 2026 guidelines, 400% is roughly $63,840 for one person and $132,000 for a household of four in the 48 contiguous states. Above that there is no premium tax credit.
What is the subsidy cliff?
The hard cutoff at 400% of the poverty level. One dollar of income above it removes the entire subsidy rather than reducing it gradually. The enhanced credits had suspended this cliff between 2021 and 2025.
Why did my premium go up when my plan did not change?
Two reasons together. Premiums themselves rose, roughly 26% for 2026 and a further 14% to 15% requested for 2027. And the subsidy that offset them shrank when the enhanced credits expired.
What happens if I do nothing?
You are usually auto-renewed, carrying forward your last reported income. If your income changed, your subsidy will be wrong in one direction or the other. Too much credit is repaid at tax time; too little means overpaying every month.
Can I enrol after 15 December?
Only with a qualifying life event, which opens a 60-day Special Enrollment Period. Medicaid and CHIP have no enrolment window and can be applied for at any time.
Before You Renew
The fifteen minutes spent updating your income estimate is worth more than anything else in this window, in a year when subsidies are smaller and mistakes are more expensive.
If your income has dropped, check Medicaid before assuming a Marketplace plan is your only option. Our free eligibility checker takes about two minutes and shows what else you may qualify for.
