Americans navigate ’wild West’ of health insurance options after dropping Obamacare plans

As self-employed photographer Stacy Cox in Kanab, Utah, ended her Obamacare health insurance this year, the cost of basic medical care became a daily concern. The 49-year-old, at high risk for breast cancer and managing an autoimmune disease, must decide each month: close her business or seek employment with better health benefits.

Cox is among 3 million Americans who left the Affordable Care Act (ACA) marketplace in early 2026 due to steep premium and deductible hikes. The ACA, created by President Barack Obama, once aimed to provide affordable coverage for millions, but soaring costs have left many Americans scrambling for alternatives. A growing number are opting for cheap, short-term plans that offer limited coverage, or participating in health-sharing programs where members collectively pay medical bills.

Others have chosen to forgo health insurance altogether, a situation the ACA initially aimed to avoid. Hospital systems have reported rising costs from treating uninsured patients, with Universal Health Services CEO stating that many of those who dropped ACA coverage are now uninsured. Short-term plans, primarily designed as temporary coverage, have become a popular choice, with premiums projected to rise by about 15% for 2027.

Despite the allure of lower costs, experts warn that these unconventional options come with significant limitations and potential pitfalls, leaving consumers to navigate a "wild, wild West" of health insurance choices.