New Mexico sees record ACA enrollment following state’s move to offset subsidy losses

The number of people covered through New Mexico’s health care marketplace has already reached a record high this year with two weeks of open enrollment to go, despite ongoing turmoil with insurance subsidies at the federal level.

BeWell, where New Mexicans can purchase health insurance plans via the Affordable Care Act, reported more than 80,400 people enrolled for medical or dental coverage next year as of Dec. 30, the highest number ever and the third record-breaking year in a row, said BeWell’s Chief Experience Officer Alex Sanchez.

In 2025, BeWell had almost 79,000 enrolled customers, marking an increase of nearly 2% for 2026. The deadline to secure coverage starting Jan. 1 was Dec. 15, though New Mexicans have until Jan. 15 to get coverage beginning Feb. 1.

Prices for ACA plans across the country are expected to rise after the expiration of Biden-era tax credits that made ACA premiums more affordable for households with incomes over 400% of the federal poverty level. Though the tax credits were a major sticking point in the federal government shutdown this fall, Congress opted not to renew them by the end of the year.

New Mexico is one of a handful of states that will provide its own assistance to cover the gap left by the federal subsidies. In an October emergency session, state lawmakers passed House Bill 2 with bipartisan support, which will pay the amount New Mexicans received from the federal government using $17 million from the state’s Health Care Affordability Fund for one fiscal year.

In 2025, about 6,500 New Mexicans received federal premium assistance that will now be covered by the state, House Majority Leader Reena Szczepanski, D-Santa Fe, the bill’s co-sponsor, told the Journal in October.

“That’s why we stepped up as a state during the special session to ensure marketplace insurance remains affordable for families across New Mexico,” Szczepanski said Tuesday. 

New Mexicans who do not qualify for Medicaid or Medicare and do not have coverage through their jobs can buy health insurance through BeWell via the ACA, commonly known as Obamacare.

“We know that subsidies work,” Sanchez said. “It would be the most ideal situation for the federal (tax credits) to be continued, but we are also lucky to live in New Mexico, where this commitment to affordable and reliable health insurance has ensured that people can continue to sign up.”  

Despite the state stepping in to foot the bill, prices for ACA plans in New Mexico will still go up. New Mexicans will see their ACA premiums increase at some of the highest rates in the country because of insurance companies’ decisions to raise prices, according to a Journal analysis of marketplace data compiled by health policy nonprofit KFF.

Premiums for New Mexicans will increase next year by an average of 35.7%, according to the state Office of the Superintendent of Insurance. The agency said in a news release that the rate hikes were caused by factors like increased medical and prescription drug costs and high demand for health care services.

Around 43% of enrollees for coverage in 2026 will pay $10 or less per month for their ACA plan, according to marketplace data. The average net premium is about $147 per month per enrollee.

Unlike Medicaid, which is for low-income Americans, the ACA serves mostly middle-class households. About half of the adults with health insurance through the ACA marketplace are small business owners or employees, or are self-employed, according to KFF.

Despite premium increases, the Centers for Medicare & Medicaid Services reported a moderate increase in ACA sign-ups nationwide as of Dec. 5 compared to the same time last year, about a month after the open enrollment window opened on Nov. 1.

New Mexicans have until Jan. 15 to enroll in coverage starting Feb. 1 through BeWell. Marketplace advisers can also help customers with placement in Medicare and Medicaid, Sanchez said.

“I think that at the end of the day, what we are seeing is people need health care,” she said.

 Natalie Robbins covers health care and the economy for the Journal. You can reach her at nrobbins@abqjournal.com.