It depends. Your return isn't decreasing because of a "penalty" for having them. Instead, how your premium tax credit is being calculated has changed because your household size has increased.
When you add dependents (like your parents), your deduction isn't decreasing because of a "penalty" for having them. Instead, it's likely dropping because of how TurboTax calculates the Premium Tax Credit (PTC). This happens because the SEHI Deduction lowers your AGI and, as a result, makes you eligible for a higher Premium Tax Credit.
A higher tax credit means the amount of premium you "actually paid" out of pocket is lower. Since you can only deduct what you actually paid out of pocket, your SEHI Deduction must be reduced to match that new, lower out-of-pocket cost.
Since your family has three people instead of one, your Federal Poverty Level (FPL) percentage changes. This means you can get more money for your Advanced Premium Tax Credits. Because of your larger household, it must reduce your SEHI deduction so you don't "double-dip" by getting a tax credit and a tax deduction for the same dollar.
This is why your SEHI deduction was reduced to accommodate a higher Advanced Premium Tax Credit. This is better because this is a dollar-for-dollar reduction of your tax liability. SEHI reduces your taxable income and doesn't reduce your tax liability in the same manner as the Advanced Premium Tax Credit. A credit is always much better than a deduction if you are looking to put more money in your pocket.
@MANI1346
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