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If you have an Obamacare policy, get ready for some sticker shock

By Mark Huffman of ConsumerAffairs

• Health insurers plan to raise Affordable Care Act (ACA) Marketplace premiums by an average of 26% in 2026, the steepest increase since the marketplaces launched.

• If Congress allows enhanced premium tax credits to expire at the end of 2025, consumer payments could more than double, rising about 114% on average.

• The surge is driven by higher hospital costs, costly new drugs, and policy uncertainty over the future of federal subsidies.

Premiums for health plans sold on the Affordable Care Act (ACA) Marketplaces are expected to surge an average of 26% in 2026, according to a new analysis by KFF. The spike reflects what insurers are charging before tax credits are applied a sharp acceleration compared to prior years.

The increase will not hit all consumers equally. In states running their own Marketplaces, the average benchmark silver plan premium used to calculate federal tax credits is set to rise 17%. In the 32 states using Healthcare.gov, premiums will climb even higher, by about 30%.

Currently, about 22 million of the 24 million Marketplace enrollees receive federal premium tax credits that cap what they pay based on income. These enhanced subsidies, expanded under the American Rescue Plan and extended by the Inflation Reduction Act, ensure that most low- and middle-income consumers pay a fixed share of their earnings, not the full price set by insurers.

If Congress extends these enhanced tax credits, the out-of-pocket cost for most enrollees will remain stable despite rising insurer charges. But if lawmakers allow the expanded aid to expire at the end of this year, average consumer payments would more than double, according to KFF estimates.

Without the enhanced subsidies, enrollees with incomes below four times the federal poverty line would receive less assistance, while those above that threshold would lose eligibility altogether leaving many to face a double hit of higher premiums and reduced aid.

Shifting plans and rising deductibles

Even if subsidies lapse, some lower-income consumers could still find bronze-tier plans with little or no premium after smaller tax credits are applied. However, those plans come with a steep tradeoff: deductibles exceeding $7,000, compared with reduced deductibles below $100 for silver-tier plans that include cost-sharing reductions.

The likely result, experts say, is a migration from silver to bronze coverage reducing financial protection for millions of enrollees.

Whats driving the surge

Insurers cite several forces behind the 2026 premium hikes. The biggest culprits include:

• Rising hospital and medical costs

• The growing use of expensive GLP-1 weight-loss drugs such as Ozempic

• Broader inflation and potential tariffs increasing healthcare supply costs

In addition, insurers say they are adding roughly four percentage points to their requested increases because they expect healthier enrollees to drop coverage if subsidies lapse leaving a sicker, costlier risk pool behind.

Because the ACAs tax credits are pegged to the second-lowest-cost silver plan, higher benchmark premiums automatically drive up the federal governments subsidy spending. Even as insurers raise rates, taxpayers may bear more of the cost especially if Congress renews the enhanced credits.

Whether lawmakers extend those subsidies or let them expire could determine whether 2026 brings a financial shock for millions of Americans or another year of stability in the ACA marketplaces.

The cut may signal a policy shift by the central bank

By Mark Huffman of ConsumerAffairs

• The Federal Reserve this week cut its benchmark federal-funds rate by 25 basis points, lowering the target range to 3.75 %-4.0.

• That move is intended to ease borrowing costs and stimulate spending in a cooling economy, but new analysis suggests consumers may see only modest relief and not all loan rates will drop in tandem.

• For those carrying credit cards, auto loans or considering refinancing a mortgage, the change offers an opportunity yet the full benefit may arrive slowly, and savings-account yields will likely shrink.

In a signal that monetary policy is shifting toward lower borrowing costs, the Federal Reserve has cut its key interest rate by a quarter-percentage point, to a level between 3.75% and 4%, the lowest level since November 2022. The decision comes amid a deceleration in job gains and rising concerns about softer economic momentum even though inflation remains above the central banks preferred 2 % target.

When the Fed lowers its benchmark rate, banks themselves pay less to borrow in the overnight market and in theory, this eventually translates into lower costs for consumers. In short, borrowing becomes cheaper when rates go down.

Heres a breakdown of how various types of loans may respond:

• Credit cards & lines of credit: These tend to follow the bank prime rate, which in turn is influenced by the Feds policy. Accordingly, consumers with variable-rate credit may see a small cut in their APR.

• Auto loans and personal loans: These are more sensitive to shorter-term funding costs and could show relief more quickly though the effect will vary by credit quality and lender competition.

• Mortgages: Especially 30-year fixed-rate mortgages, these are less directly tied to the Feds short-term rate. Instead, they follow long-term Treasury yields and bond market spreads which means a Fed cut does not guarantee a rapid drop in mortgage rates. (

Why relief may be limited or delayed

Analysts caution that the benefit to consumers may be muted or slow to arrive. For one, many borrowing rates are already elevated; a modest 25-basis-point reduction may only shave a small amount off monthly payments.

Further complicating matters: banks may be slow to pass on full rate cuts to borrowers, credit risk remains elevated, and lenders might keep spreads wide to maintain profits in uncertain times.

In addition, while short-term borrowing costs may drop, longer-term rates (which matter for mortgages and large purchases) are influenced by inflation expectations, global yields, and economic growth concerns all of which could keep them elevated.

What consumers should consider

• If you carry high-interest credit card debt, a rate cut might create an opening, but its not a cure: the savings may be modest and wont eliminate risk if you continue to carry a balance.

• Shopping for an auto loan or looking to borrow for home improvements? It may be worth comparing current offers now that funding costs have dipped, but also focus on your credit score and loan term.

• Thinking of refinancing your mortgage? Monitor bond yields and refinance costs the Feds cut helps from a broad macro-level, but the mortgage you can get will depend on many factors.

• Savers will likely find that deposit rates edge lower, so if your plan was to earn more via savings, you may need to adjust expectations (or consider other ways to use your money).

The bigger picture

The significance of the Feds decision is the shift: whereas the central bank spent recent years hiking rates to tame inflation, it now appears more focused on supporting growth and guarding against a possible slowdown. Yet the Fed has signalled that the path forward will be cautious.

For consumers, this means: yes, borrowing may gradually become cheaper but not dramatically overnight. The effectiveness of this cut will depend on how quickly rates get passed through, how the macro-economy evolves, and how global markets respond. In the meantime, households with debt will still want to manage balances, consider refinancing options and not count solely on the Fed to deliver big relief.

Ticks thrive as climate warms

• Warmer weather and longer tick seasons are fueling a surge in tick-related illnesses across the U.S.

• Lyme disease remains the most common infection, but new threats like alpha-gal syndrome are spreading.

• Public-health experts say prevention and prompt tick removal are key to staying safe.

Ticks are becoming more numerous and more dangerous across much of the United States as warmer winters and wetter weather allow them to survive longer and expand their range, according to infectious-disease and biology experts.

Were seeing more diverse species of ticks, more often, said Timothy Driscoll, associate professor of biology at West Virginia University. Tick ranges are expanding with changing climate, and milder winters mean more ticks survive through the season. Warmer, wetter conditions also let ticks stay active longer and thrive in greater numbers.

Scientists say tick populations are increasing not only in traditional hot spots like the Northeast and Upper Midwest but also in regions where they were once rare, including parts of the South and Midwest. Flooding and changing wildlife patterns can also push tick-carrying animals closer to peoples homes.

Lyme disease still leads, but other infections are rising

Lyme disease, transmitted by the blacklegged (deer) tick, continues to be the most common tick-borne illness in the United States, with cases climbing sharply in recent years. The Centers for Disease Control and Prevention (CDC) now estimates nearly half a million Americans may be diagnosed with Lyme each year far more than previously reported.

Theres no human vaccine yet, but several are in development, Driscoll said, noting that his lab has been part of a federally funded effort to explore new vaccine targets.

Other tick-borne illnesses including anaplasmosis, ehrlichiosis, and babesiosis are also spreading, aided by the same environmental changes. All the ticks that carry these diseases are present across much of the country, meaning residents face multiple potential risks, Driscoll said.

Red-meat allergy linked to lone star tick bites

Beyond bacterial infections, doctors are seeing more cases of alpha-gal syndrome (AGS) a red-meat allergy triggered by bites from the lone star tick, which is expanding northward and westward.

Alpha-gal is a sugar molecule found in most mammals but not humans, said Matt Lokant, assistant professor in the Division of Infectious Diseases at WVUs School of Medicine. After a tick bite, alpha-gal can be introduced, and subsequent exposure to red meat can cause allergic symptoms from hives and itching to life-threatening anaphylaxis.

Symptoms typically appear two to six hours after eating red meat and may also follow consumption of dairy, gelatin, or other mammal-based products. Theres currently no cure for AGS, Lokant said, so management focuses on avoiding red meat and carefully reading ingredient and medication labels.

Unlike Lyme disease, alpha-gal syndrome doesnt have a characteristic rash, Lokant added. If there are any signs of a serious allergic reaction, seek emergency medical care immediately.

Prevention is the best protection

Health experts say the best defense against tick-borne disease is prevention and early detection. Key steps include:

• Wearing long sleeves and pants in wooded or grassy areas.

• Using EPA-approved repellents containing DEET or picaridin.

• Checking people and pets carefully after outdoor activities.

• Removing attached ticks promptly with fine-tipped tweezers and monitoring for symptoms.

Prevention is the first line of defense, Driscoll said.

Tick safety checklist

Before you go outside

• Apply insect repellent with DEET, picaridin, or permethrin (for clothing).

• Wear light-colored clothing to spot ticks more easily.

• Tuck pants into socks and shirts into waistbands when hiking or gardening.

After outdoor activity

• Check your entire body especially scalp, ears, knees, and waistband.

• Examine pets and gear before bringing them indoors.

• Shower soon after being outdoors to wash away unattached ticks.

If you find a tick

• Grasp it close to the skin with tweezers and pull straight out.

• Clean the bite area with soap and water.

• Save the tick in a sealed plastic bag for possible identification.

• Contact a doctor if you notice rash, fever, fatigue, or allergic reaction.

Just in time to plan your online holiday shopping

• Mailed returns often cost $4.95$9.99 at apparel stores; big-box retailers typically offer free labels or partner drop-offs

• Free in-store returns are your safest bet; on Amazon (and others) pick label-free/box-free drop-offs to avoid fees

• Policies change fastcheck the return method before buying; join free loyalty tiers that waive mail-in fees and initiate marketplace returns through the platform

Free returns arent the default anymore. This holiday season, the smart move is checking the return method before you buy. Clothing retailers, in particular, often deduct $4.95 to $9.95 for mailed returns, while most big box stores still offer free labels or free drop-offs, if you pick the right option at checkout.

Keep in mind that policies change fast around the holidays, so check the return policy before you click Buy. This is especially important when shopping with an online retailer youre unfamiliar with.

Stores that now charge a fee (or make you pay postage) for mailed returns

Abercrombie - $7 by mail (often waived for exchanges/e-gift card); free in-store.

American Eagle - $5 for mail-in returns.

Anthropologie - $5 deducted from refund; exchanges free; free in-store.

DSW You pay a steep $9.95 with their label; free in-store.

DSW - $8.50 with their label; free in-store. (free for VIP Gold and Elite members)

H&M - $3.99 fee by mail; free for members; free in-store.

JCPenney - $8 fee with their prepaid label; free in-store.

J.Crew - $7.50 with their prepaid label; free in-store.

Kohls - you pay postage on mailed returns; free in-store.

Macys Youll pay $9.99 unless you join their Star Rewards program (free to join) which makes by-mail returns free.

Nordstrom Rack - $9.95 per prepaid label; free in-store.

REI - $7.99 by mail, free in-store.

Saks Fifth Avenue - $9.95 by mail; free in-store. (OFF 5TH similar.)

UNIQLO - $7 mail-in fee (plus tax in some states); in-store options vary by item.

Ulta - you pay postage on mailed returns; free in-store.

Urban Outfitters - $5 restocking fee on most mailed returns; free in-store.

Wayfair Varies. They require you to pay the return shipping fee which varies depending on the size and weight of the item youre returning.

Zara - $4.95 per return request; free in-store.

The big stores where mail returns are usually free

Amazon - Choose label-free, box-free drop-offs (Kohls, Whole Foods, UPS Store, Staples) to avoid charges. If the reason for the return is not Amazons fault, theyll charge you to return the item if you return it yourself and dont pick one of the drop-off points.

Target - Free in-store; by-mail can vary making store drop-off the safest bet.

Walmart - Strong free & easy returns; marketplace sellers arent supposed to charge you return shipping; store/curbside drop-off is easiest.

Best Buy - Free prepaid label in your return window but some items incur a 15% restocking fee if the item is opened (drones, cameras, camcorders, scooters).

Nordstrom - Free prepaid label (different from Rack).

Howto shop smarter online (and dodge return fees)

Before you fill that cart, check out these 6 quick moves that keep holiday returns free (or close to it). Theyre simple yet often overlooked, and theyll save you from those gotcha fees.

1. Pick your return path before you buy - On the product page or at checkout, click Returns. If you see a dollar amount for mailed returns, assume youll need to return in-store to make it free.

2. Always choose the free drop-off option - Amazon and others show multiple return methods. Be sure to pick label-free/box-free options at partner locations. If you see fee deducted, back up and change the method.

3. Join the free loyalty tier when it helps - H&M and Macys, for example, waive the mail fees for members. Signing up at checkout is worth it.

4. Favor retailers with free labels if you cant get to a store - Best Buy, Nordstrom, and many Gap/Old Navy items typically include prepaid labels.

5. Watch marketplace fine print - On Walmart/Best Buy marketplaces, sellers generally follow the platforms free-return rules. But remember to always initiate the return through the platform, not the sellers site.

6. Size smarter to reduce returns - Read recent fit reviews, check photos, use size tools, and only order multiple sizes at stores with free returns. Otherwise youll have pay to ship back the items that doesnt fit.

Dont forget about extended holiday returns

To encourage gift buying this year, many retailers offer an extended holiday return policy so the gift receiver has ample time to make a return or exchange.

Here are 12 such policies from some of the biggest names in retail.

Amazon Anything bought between Nov 1Dec 31, 2025 is returnable through January 31, 2026 (brand exceptions like Apple may differ).

Apple Store All items purchased between Nov 8Dec 25, 2025 can be returned through January 8, 2026.

Barnes & Noble - Purchases made Nov 1Dec 31 are returnable/exchangeable through Jan 31, 2026 (includes NOOK).

Best Buy - Most gifts bought Oct 31-Dec 31 are returnable through Jan 15, 2026. This is especially notable because their regular return policy only gives shoppers 15 days to make a return. My Best Buy Plus/Total members get through Jan 31, 2026.

GameStop Return are extended to January 15, 2026 for all purchase made between Nov 1Dec 24.

Kohls - Purchases made between Oct 5Dec 31 are returnable through Jan 31, 2026 (Sephora at Kohls and some categories excluded).

JCPenney - Holiday purchases on/after Oct 1, 2025 may be returned through Jan 31, 2026 with an original or gift receipt

Macys - Most items bought Oct 6Dec 31, 2025 returnable through Jan 31, 2026 (standard category exceptions; possible fee for some mail-in returns).

Marshalls- In-store purchases Oct 5Dec 24, 2025 returnable through Jan 25, 2026; online purchases in that window returnable through Feb 4, 2026.

Target While they havent announced it for 2025 yet, in years past theyve given shoppers 90 days from December 26^th to make a return. This policy was good for all purchases made between October 6-December 25. I expect them to do the same this year.

TJ Maxx Anything you buy between Oct 5-Dec 24 can be returned to any TJ Maxx location through January 25, 2026.

Walmart - Most items bought Oct 1Dec 31, 2025 are returnable through Jan 31, 2026 (exceptions: phones, major appliances, certain premium/luxury/seasonal items, etc.).