Shopping for a 2027 health plan? State aid and 4 smart moves can cut your health costs

In 2027, residents of 11 states can receive extra help paying for their ACA health plan premiums. These states include California, Colorado, Connecticut, Maryland, Massachusetts, New Mexico, New Jersey, Rhode Island, Vermont, Virginia, and Washington. States are providing this aid to offset the loss of enhanced federal premium tax credits, which ended in 2025.

Without these credits, ACA premiums rose by 58% in 2026, according to KFF. As of February 2027, 19.2 million people had ACA marketplace plans, a 13% decrease from the previous year. The federal tax credits still apply, but state aid varies and often targets lower-income enrollees. California, for instance, has expanded its program to those earning up to 200% of the federal poverty level, which could benefit around 200,000 more residents.

New Mexico is the only state that fully replaces the lost federal aid. Experts suggest that states with more generous subsidies may see better enrollment retention. To choose a 2027 plan, consider checking the provider network, comparing deductibles and out-of-pocket limits, and updating your household and income details, as subsidies are based on a midpriced benchmark plan.

Renewing your plan automatically may not be the best choice—shopping around each year can save you money. Don't assume you are ineligible for help; eligibility is based on modified adjusted gross income, which can be lowered by certain deductions. Free assistance is available from trained navigators and licensed brokers. The enrollment deadline for coverage starting in 2027 is Dec. 15.