Lamont: State Health Care Enrollment Up As CT Works To Soften Federal Subsidy Elimination

HARTFORD, CT — Even as enhanced federal Affordable Care Act subsidies expired and officials warned of widespread coverage losses, enrollment on Connecticut's health insurance exchange is running higher than last year, state officials said Wednesday, after the state moved to blunt premium increases with a major infusion of state funds.

Gov. Ned Lamont and health officials announced a state subsidy program to offset the loss of federal premium tax credits that lapsed at the end of 2025 after Congress failed to extend them. While the state has authorized up to $120 million, Lamont said about $70 million will be spent this calendar year, with ad ditional funding available if the federal lapse continues.

"We're seeing the opposite of what's happening elsewhere," Lamont said. "People across the country are dropping coverage because of confusion and higher costs. That's not happening here."

According to Access Health CT, enrollment is running 3% to 5% higher than at the same point last year, despite the expiration of federal subsidies. James Michel, the exchange's chief executive officer, said the agency began warning consumers as early as July that the enhanced subsidies were set to expire, using email, text messages, advertising and community outreach.

Michel said subsidy recalculations tied to the new state funding will be applied automatically, including for people who enrolled earlier in the open enrollment period. Insurance carriers will calculate the base premium, apply any remaining federal credits, add the state subsidy, and present consumers with a final "net premium," eliminating the need for residents to reapply, he said.

Under the program, the state will fully replace lost subsidies for lower-income residents, including those eligible for Covered Connecticut, and partially replace assistance for households earning up to roughly $160,000 to $165,000 annually, officials said.

Michel said the state is offsetting a significant share of the lost federal assistance. In Fairfield County, one enrollee who lost $1,400 per month in federal subsidies will receive about $700 in state aid. In Hartford County, another household will receive roughly $520 per month, he said.

Interim Insurance Commissioner Josh Hirschman said the state's approach is intended not only to keep coverage affordable but also to prevent broader market instability.

"When you have a stronger pool, you have better rates in the future," Hirschman said, adding that preventive care and regular access to primary care help reduce long-term costs.

Connecticut is among only a small number of states stepping in to replace lost federal subsidies. Maryland has enacted a multi-year state program, and California, New Mexico and Colorado have also approved funding to soften the impact of the federal expiration. Most states have not replaced the assistance.

"We're not going to be able to make up the federal shortfall forever," Lamont said, noting that the state is currently able to cover roughly half of what was lost.

Officials are also considering extending the current open enrollment deadline beyond Jan. 31 to give consumers additional time to navigate shifting subsidy levels as federal policy remains unsettled.

Residents were encouraged to log onto Access Health CT and work with licensed insurance brokers to review their options and ensure they are receiving all available assistance.