ALASKA HOUSE LABOR AND COMMERCE COMMITTEE HEARS TESTIMONY FROM LOCAL BUSINESS OWNERS ON THE CONSEQUENCES OF INCREASING HEALTH CARE COSTS

The following information was released by the Alaska House Majority Coalition:

On Monday, January 26, members of theHouse Labor and Commerce Committeeheard invited testimony from four Alaskan business owners struggling with health care and insurance costs.

Shayla Teague of Ark Insurance Solutions,a health insurance brokerage,

said the expiration of the enhanced premium tax credits program has had direct impacts on Alaskans, with enrollment in the insurance marketplace decreasing by 11% from 2025 to 2026.

While some of those individuals may find insurance through another company, the vast majority of those individuals are now uninsured, said Teague, addressing the committee on Monday.

Laura Butcher of CandL Creative,an Anchorage advertising agency,said increasing health care costs are making it almost impossible for her family to continue living in Alaska. Her husband and business partner, a third-generation Alaskan, has family roots in Anchorage that go back to the 1940s. Last year, Butcher said it cost $1,400 a month to ensure her family of four. In 2026, that cost rose to $4,250.

I ask you: How many Alaskans do you know that can easily afford almost $38,000 to $51,000 a year to pay their premium and still must pay out of pocket beyond that because of a high deductible? asked Butcher. What is our other choice?

Mark Robokoff owns AK Bark, an Anchorage pet supplies store. Robokoff said he was hoping to expand his business and open three new locations in 2026: one on the Kenai Peninsula, one in the Mat-Su and one in Fairbanks. After his monthly insurance premiums went from $953 to $2,886, he said money once planned for expansion will now need to go towards maintaining his health care coverage.

Small businesses are the lifeblood of our state, said Robokoff. Unaffordable health care will hurt small businesses like mine, only advantaging the big businesses that send our dollars out of state.

Janis Fleischman owns Fire Island Rustic Bakeshopin Anchorage. She said that due to the expiration of the enhanced premium tax credits, her business saw a $162,000 cost increase.

The committee also heard presentations fromJared Kosin of the Alaska Hospital and Healthcare AssociationandHeather Carpenter from the Division of Insurance.

Kosin confirmed that around 27,000 Alaskans lost their health care assistance on December 31, 2025, and most saw their payment premiums double or triple overnight. He also acknowledged that they have a duty and a lawful requirement to provide care and will continue to do so. But that care doesn't come without its own financial impacts.

When uninsured people come to our hospitals, they will receive the care they need, said Kosin. For those without insurance, its left to Alaskans to pay that cost.

Expanding access to care is the best way to improve affordability.

You can watchthe full recording of Monday's committee meetingonline through the Gavel Alaska archives.