President Donald Trump on Saturday called on Senate Republicans to review the federal health insurance subsidies currently provided to private insurance companies and instead send the money directly to Americans.
In a post on his social media page, Trump referred to the hundreds of billions of dollars flowing to “money-sucking insurance companies” under the Affordable Care Act (ACA) and suggested that the money “should be sent directly to people so they can buy much better health care, and have money left over.”
His remarks came as the federal government shutdown, now in its fifth week, has halted a variety of domestic programs, including health insurance subsidies. Senate Majority Leader John Thune (R-South Dakota) said lawmakers are engaged in talks to reopen the government, but any vote on health care subsidies will be held up until a broad funding deal is reached according to Reuters.
Some Republican senators have expressed interest in Trump’s proposal, saying it could give citizens direct control over health care costs, while others have urged caution, citing the potential impact on existing laws and insurance markets. Democrats, meanwhile, have warned that the subsidy overhaul could disrupt the insurance market and raise premiums for millions of Americans.
Health care industry analysts said that insurance company stock prices fell sharply after Trump’s speech, reflecting market concerns about the potential loss of subsidies that insurers rely on under the ACA according to Investopedia.
Shares of UnitedHealth Group and other major insurers fell following remarks by President Donald Trump regarding payment issues.
Photo: Patrick T. Fallon / AFP via Getty Images
The latest proposal reflects continued pressure from Trump and his allies to overhaul federal health care spending a serious political issue as lawmakers work to break the budget impasse and restore government operations.
