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Congress·In Committee·S. 2556

Protecting Health Care and Lowering Costs Act

Sen. Schumer Introduces Bill to Permanently Lower Health Insurance Premiums for Millions

This bill was recently introduced in the Senate and is currently being reviewed by the Committee on Finance. It is in the early stages of the lawmaking process and no further actions are scheduled at this time. The bill is considered active as it waits for the committee to decide on its next steps.

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Legislative Progress

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While the bill has nearly every Democrat behind it, it lacks Republican support and aims to undo a law passed by the other party, which is difficult in a divided Congress.

Key Points

  • This bill would permanently extend and expand the enhanced premium tax credits that help people afford health insurance purchased through the ACA marketplace. It removes the income cap so no one earning above 400% of the poverty line is locked out of subsidies.

    From policy text

    Subparagraph (A) of section 36B(c)(1) of the Internal Revenue Code of 1986 is amended by striking ``but does not exceed 400 percent''.
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  • People earning under 150% of the federal poverty level would pay nothing for a benchmark marketplace plan. For higher earners, premiums scale up gradually but are capped at 8.5% of household income no matter how much you make.

    From policy text

    Up to 150 percent............................. 0 0 150 percent up to 200 percent................. 0 2.0 200 percent up to 250 percent................. 2.0 4.0 250 percent up to 300 percent................. 4.0 6.0 300 percent up to 400 percent................. 6.0 8.5 400 percent and higher........................ 8.5 8.5.
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  • The bill repeals the entire health subtitle of the One Big Beautiful Bill Act (Public Law 119-21), rolling back all changes that law made to health care policy. Any law or regulation affected by that subtitle would go back to how it worked before.

    From policy text

    Subtitle B of title VII of the Act titled ``An Act to provide for reconciliation pursuant to title II of H. Con. Res. 14'' (Public Law 119-21) is repealed and any law or regulation referred to in such subtitle shall be applied as if such subtitle and the amendments made by such subtitle had not been enacted.
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  • If enacted, these changes would take effect for tax years beginning after December 31, 2025, meaning people would see the lower costs starting with their 2026 health coverage.

    From policy text

    The amendments made by this section shall apply to taxable years beginning after December 31, 2025.
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  • The bill has strong Democratic backing with 47 Senate cosponsors led by Sen. Schumer, but faces long odds in a Republican-controlled Congress. It was referred to the Senate Finance Committee.

    From policy text

    Mr. Schumer (for himself, Mr. Wyden, Mr. Merkley, Mrs. Shaheen, Ms. Hirono, Mr. Welch, Ms. Duckworth, Mr. Hickenlooper, Mr. King, Mr. Lujan, Mr. Sanders, Mr. Reed, Mr. Van Hollen, Mr. Peters, Mr. Blumenthal, Mrs. Murray, Mr. Schatz, Mr. Whitehouse, Ms. Warren, Mr. Warner, Mrs. Gillibrand, Mr. Kaine, Mr. Schiff, Ms. Baldwin, Mr. Markey, Mr. Coons, Ms. Alsobrooks, Mr. Durbin, Mr. Padilla, Mr. Gallego, Ms. Rosen, Mr. Warnock, Ms. Smith, Mr. Kelly, Mr. Booker, Ms. Slotkin, Mr. Bennet, Mr. Kim, Ms. Cortez Masto, Ms. Cantwell, Ms. Klobuchar, Ms. Blunt Rochester, Mr. Heinrich, Mr. Fetterman, Mr. Ossoff, Ms. Hassan, and Mr. Murphy) introduced the following bill
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HealthcareTaxes

Impact Analysis

Personal Impact

Scores: 1 = low, 5 = highSentiment: -5 to +5 (net benefit)

Milestones

2 milestones2 actions
Jul 30, 2025Senate

Read twice and referred to the Committee on Finance. (text: CR S4908)

Sent to a congressional committee for expert review. The committee decides whether this bill moves forward.

Jul 30, 2025

Introduced in Senate

The bill was officially filed and given a number. It now enters the legislative queue.

Votes

No votes have been recorded for this legislation yet.

News

No related news coverage found for this legislation yet.

Source Information

Document Type

Congressional Bill

Official Title

Protecting Health Care and Lowering Costs Act

Bill NumberS 2556
Congress119th Congress
ChamberSenate
Latest ActionRead twice and referred to the Committee on Finance. (text: CR S4908)

Sponsor

Cosponsors

(46)
D: 44I: 2

Analysis generated by AI. Always verify with official sources.