Maine's Small Businesses Face Health Insurance Crisis

Maine's small business owners are in a tough spot. They're worried about a big jump in health insurance costs. This could happen if certain tax credits from the Affordable Care Act (ACA) stop. These credits help keep premiums affordable. Without them, many families could face huge bills. Take Ossian Riday, a self-employed software developer from Topsham. He shared his concerns at a recent roundtable discussion. He said his family's out-of-pocket expenses for health insurance could hit $42, 000 next year. That's a lot of money. It's like buying a new car every year. Riday and others need solutions. They don't want to face financial ruin just to stay healthy. The enhanced premium tax credits are at the heart of this issue. These credits were part of the coronavirus relief package. They've helped many people afford health insurance. But they're set to expire at the end of this year. If they do, premiums could skyrocket. Penny Collins, who owns a small engineering firm with her husband, shared her story. Their premiums could jump from $15, 000 to $33, 000 a year. That's more than their mortgage, car payment, and utility bills combined. It's a scary thought for many small business owners. The impact on Maine could be significant. The average premium could increase by 77% if the enhanced tax credits end. That's according to the Maine Health Insurance Marketplace. The Urban Institute predicts 8, 000 Maine residents could go uninsured in 2026. They might not be able to afford the higher premiums. Hilary Schneider, director of Maine’s Health Insurance Marketplace, said many people are worried. They're getting a lot of calls from concerned residents. Some have already canceled their ACA plans for 2026. Politicians are divided on this issue. Democrats and some Republicans want to extend the enhanced credits. But the Trump administration and Republican leadership in Congress have been opposed. There's talk of a two-year extension, but it's not clear if that will happen. Maine's congressional delegation supports extending the ACA subsidies. They include Sen. Susan Collins, Rep. Jared Golden, and independent Sen. Angus King. But time is running short. People are already shopping for plans. They need to select one by Dec. 15 to have coverage starting Jan. 1. Bethany Allen, owner of Harvest Tide Organics farm, said the ACA has helped her business. It's allowed her to hire and retain employees. But the uncertainty caused by the credits ending could hurt their farm. She's not sure how much her family's premiums will increase. But she knows it could be a big problem.