HR 1 healthcare cuts in New York are set to remove nearly 500,000 moderate-income residents from health insurance on 1 July. The loss centers on New York’s essential plan, and people who lose coverage will have 60 days to find new insurance or wait until open enrollment in November.
Maia Dillane of the Arab-American Family Support Center called the moment It’s an all hands on deck situation
. She and other community workers are trying to steer affected families toward new coverage before the deadline, because the first wave of losses is already taking shape.
New York State of Health
New York State of Health said essential plan funding was cut in half after HR 1 passed in 2025. The July losses follow a 2023 federal pilot program that covered residents earning 200-250% of the federal poverty level, up to $39,900 for a single person and $66,625 for a family of three, with the pilot meant to last until 2028.
HR 1 also ended health insurance tax credits to lawfully present immigrants. The law cut government health spending by $911bn nationally and redirected money toward permanent tax breaks for higher-income families and border security.
Rahem Bader on family costs
Rahem Bader, who directs the community health and well-being program at the Arab-American Family Support Center, said families are weighing whether to enroll in qualified health plans or drop coverage because of the price. We’re seeing a lot of families still going back and forth on whether they can enroll in one of the qualified health plans – or whether they are just going to opt out of the coverage completely,
he said.
He added, Families are having to choose how they’re going to split their costs when it comes to their healthcare, food, etc.
The 60-day window makes that decision immediate: after it closes, the next chance to enroll is November.
East Harlem Council for Human Services
Dr Adam Aponte, chief executive at the East Harlem Council for Human Services, said, This is just the tip of the iceberg, right – because come January all the other impacts of HR1 start to kick in,
pointing to a later wave of effects beyond the July coverage losses. Kaiser Family Foundation analysts predict as many as 1.1 million people could lose health insurance statewide through 2034 when other HR 1 provisions are included.
New York City is expected to be hardest hit, with more than 250,000 residents affected. For families now facing the July cutoff, the immediate task is to choose between a new qualified health plan and going without coverage until the next enrollment period opens.
