The Cost-of-Living Fairness Act requires the federal government to exclude certain insurance premium payments when determining whether people qualify for federal assistance programs like SNAP, Medicaid, and housing vouchers. Specifically, the bill allows individuals to deduct what they pay for auto insurance, homeowners or renters insurance, and flood insurance from their counted income and resources when applying for or receiving federal benefits. This change applies to any federal program and any state or local program that receives federal funding, meaning it could affect eligibility determinations across numerous assistance programs nationwide. The bill was introduced in September 2025 by a bipartisan group of House members and aims to help lower-income households better afford these necessary insurance costs without losing eligibility for critical government assistance. The legislation does not establish a specific funding amount or implementation timeline, instead directing federal agencies to adjust their eligibility calculations to account for these insurance payments.
Take Action
Your position
Add a comment
to comment on this bill.
Annotate the text
Highlight any passage on the Summary or Full Text tab to attach a note. Annotations appear on the Annotations tab.