Obamacare Faces Unprecedented Test as Economy Sinks

It is a big improvement from the last recession, he said, when he became uninsured for several years after losing his job and getting divorced. But for Mr. Exum, 53, the law is imperfect.

His plan is cheap because it has a high deductible — $6,900 a year. Worse, if his unemployment benefits expire before he finds a new job, and his income drops below the poverty line, he will lose his premium subsidies and will no longer be able to afford the plan. But because of a quirk in the law, he would not be eligible for Medicaid in that situation, because North Carolina has not expanded the program to cover many low-income men.

“I know there are millions in the same boat,” said Mr. Exum, who has been walking a mile or two a day to stay healthy during the pandemic. “It’s just really scary.”

The strange glitch exists because the law originally required all states to expand Medicaid, and thus did not set up a system of subsidies for the poorest Americans to buy private coverage. The Supreme Court ultimately ruled that states could opt out of expanding Medicaid, but Congress, bitterly divided over the law, never fixed the glitch.

“The pandemic has exposed some of the glaring weaknesses in the A.C.A.,” said Paul Starr, a professor of sociology and public affairs at Princeton who served as a health policy adviser to the Clinton administration. “When millions of workers lose their jobs, most of them also lose their health coverage, and the A.C.A. does not provide for any automatic backup or means of transferring coverage to a publicly subsidized alternative.”

“To be sure, we are better off with the A.C.A. than without it,” Mr. Starr added, “but we ought to be prepared to go beyond it and create a system that doesn’t leave so many Americans in the lurch.”

The A.C.A. brought the country’s uninsured rate down to record lows several years after it was enacted in 2010, but even before the pandemic some 28 million people had no coverage. Still, an analysis by the Kaiser Family Foundation estimated that 27 million Americans could have lost job-based health coverage between March and May, and that a vast majority of them — 79 percent — are eligible for new coverage from Medicaid or subsidized private plans.