Millions of Americans relying on Obamacare subsidies are delaying or dropping health insurance due to impending premium hikes in 2026, which could more than double for some. Sign-ups are lagging in several states, with enrollment down by as much as 33%, as households face the potential loss of enhanced tax credits that expanded coverage during the COVID-19 pandemic. The subsidies, which help approximately 22 million enrollees, are set to expire at the end of 2025 unless Congress intervenes. The expiration could result in a significant increase in premiums—estimated to rise by over 114% for some—and up to 4 million Americans potentially losing coverage, according to the Congressional Budget Office. The debate over extending these subsidies is ongoing, with some lawmakers proposing alternatives such as direct payments or health savings accounts. Households near the income threshold are advised to take financial steps like Roth IRA conversions, contributing to tax-advantaged accounts, or selling investments at a loss to lower their income and qualify for subsidies. The return of the 'subsidy cliff' is considered a 'phantom tax' that could impose a substantial financial burden on millions, especially older adults and middle-income families, if Congress fails to act before the end of the year.