S. 3385: Lower Health Care Costs Act

S. 3385 would keep the enhanced ACA premium tax credits alive for three more years, so people buying their own coverage would keep larger federal subsidies through 2028.

The bill is narrowly focused. It does not create a new health program or rewrite the marketplace rules. It simply extends the current, more generous subsidy formula and keeps open eligibility for some households whose income is above the old cutoff.

That old cutoff matters because, before the temporary expansion, many people lost all subsidy help once their income rose above 400% of the federal poverty level. Under S. 3385, that hard line would stay suspended through 2028.

In practical terms, the bill is trying to prevent a premium shock in 2026 for people who buy insurance on their own. If Congress does nothing, the enhanced credits expire after 2025.

The text says the extension would apply to tax years beginning after December 31, 2025. So the real question is whether Congress wants to keep paying for lower marketplace premiums for three more years, or let the current subsidy boost end on schedule.