The hardest hit states if ACA premium tax credits expire

Texas will see the biggest economic hit if ACA premium tax credits expire at the end of 2025, according to a March 3 brief from the Commonwealth Fund.

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The ACA provides low- and middle-income individuals with premium tax credits to purchase health coverage on the exchange. Originally authorized by the American Rescue Plan Act in 2021, enhanced PTCs were later extended by the Inflation Reduction Act. Without another congressional extension, the PTCs will expire at the end of 2025.

As of January 2025, 24 million people are enrolled in an exchange plan. Without a PTC extension, an estimated 4 million people will become uninsured, creating a ripple effect across the healthcare industry and wider economy.

Without an extension, total state GDPs would fall by $34.1 billion and total economic output would decrease by $57 billion. The list below ranks states by the estimated change in total economic activity if an extension does not occur. The list also includes the estimated change in federal funding due to the elimination of enhanced PTCs.

“It should be noted that our estimates are conservative,” Commonwealth Fund researchers wrote. “They do not account for the potential loss of productivity likely to result when people who lose access to affordable insurance, and thus affordable medical care, are unable to work because of a decline in their health status.”

States ranked by the change in economic output in 2026 if premium tax credits expire:

  1. Texas
    Economic output change: −$14.1 billion
    Federal funding loss: −$6.3 billion
  2. Florida
    Economic output change: −$9.5 billion
    Federal funding loss: −$4.2 billion
  3. Georgia
    Economic output change: −$5.5 billion
    Federal funding loss: −$2.5 billion
  4. Tennessee
    Economic output change: −$2.8 billion
    Federal funding loss: −$1.3 billion
  5. Louisiana
    Economic output change: −$2.1 billion
    Federal funding loss: −$968.6 million
  6. South Carolina
    Economic output change: −$2.1 billion
    Federal funding loss: −$996 million
  7. Alabama
    Economic output change: −$1.9 billion
    Federal funding loss: −$923 million
  8. Mississippi
    Economic output change: −$1.56 billion
    Federal funding loss: −$728 million
  9. Ohio
    Economic output change: −$1.55 billion
    Federal funding loss: −$708 million
  10. California
    Economic output change: −$1.5 billion
    Federal funding loss: −$716 million
  11. Arizona
    Economic output change: −$1.1 billion
    Federal funding loss: −$487 million
  12. North Carolina
    Economic output change: −$1 billion
    Federal funding loss: −$479 million
  13. New York
    Economic output change: −$990 million
    Federal funding loss: −$479 million
  14. Indiana
    Economic output change: −$937 million
    Federal funding loss: −$447 million
  15. New Jersey
    Economic output change: −$879 million
    Federal funding loss: −$428 million
  16. Kentucky
    Economic output change: −$840 million
    Federal funding loss: −$391 million
  17. Missouri
    Economic output change: −$736 million
    Federal funding loss: −$344 million
  18. Oklahoma
    Economic output change: −$722 million
    Federal funding loss: −$340 million
  19. Kansas
    Economic output change: −$721 million
    Federal funding loss: −$344 million
  20. Arkansas
    Economic output change: −$626 million
    Federal funding loss: −$295 million
  21. Utah
    Economic output change: −$572 million
    Federal funding loss: −$258 million
  22. Colorado
    Economic output change: −$522 million
    Federal funding loss: −$243 million
  23. West Virginia
    Economic output change: −$497 million
    Federal funding loss: −$240 million
  24. Idaho
    Economic output change: −$481 million
    Federal funding loss: −$227 million
  25. Pennsylvania
    Economic output change: −$448 million
    Federal funding loss: −$208 million
  26. Oregon
    Economic output change: −$418 million
    Federal funding loss: −$200 million
  27. Virginia
    Economic output change: −$413 million
    Federal funding loss: −$202 million
  28. Illinois
    Economic output change: −$388 million
    Federal funding loss: −$181 million
  29. Minnesota
    Economic output change: −$370 million
    Federal funding loss: −$172 million
  30. Maryland
    Economic output change: −$263 million
    Federal funding loss: −$128 million
  31. Wyoming
    Economic output change: −$208 million
    Federal funding loss: −$105 million
  32. Washington
    Economic output change: −$196 million
    Federal funding loss: −$97 million
  33. Michigan
    Economic output change: −$193 million
    Federal funding loss: −$88 million
  34. Delaware
    Economic output change: −$153 million
    Federal funding loss: −$75 million
  35. Alaska
    Economic output change: −$152 million
    Federal funding loss: −$76 million
  36. Nevada
    Economic output change: −$135 million
    Federal funding loss: −$65 million
  37. South Dakota
    Economic output change: −$133 million
    Federal funding loss: −$65 million
  38. Nebraska
    Economic output change: −$127 million
    Federal funding loss: −$62 million
  39. Connecticut
    Economic output change: −$129 million
    Federal funding loss: −$64 million
  40. Iowa
    Economic output change: −$99 million
    Federal funding loss: −$49 million
  41. New Hampshire
    Economic output change: −$88million
    Federal funding loss: −$42 million
  42. Vermont
    Economic output change: −$73 million
    Federal funding loss: −$35 million
  43. Maine
    Economic output change: −$56 million
    Federal funding loss: −$26 million
  44. Wisconsin
    Economic output change: −$27 million
    Federal funding loss: −$15 million
  45. Montana
    Economic output change: −$30 million
    Federal funding loss: −$15 million
  46. Hawaii
    Economic output change: −$30 million
    Federal funding loss: −$15 million
  47. District of Columbia
    Economic output change: −$12 million
    Federal funding loss: −$6 million
  48. North Dakota
    Economic output change: +$15 million
    Federal funding loss: +$6 million
  49. Rhode Island
    Economic output change: +$34 million
    Federal funding loss: +$16 million
  50. New Mexico
    Economic output change: +$103 million
    Federal funding loss: +$50 million
  51. Massachusetts
    Economic output change: +$348 million
    Federal funding loss: +$166 million
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