President Donald Trump has laid out a plan directing federal health funds straight to individuals, enabling them to buy their own insurance and negotiate prices independently.
Trump Says His Plan Has Support From Few Democrats
Trump proposed this plan as an alternative to the current system, which he believes has allowed insurance companies to amass significant profits. Speaking to reporters on Sunday, the President said that he aims to redirect these funds to the public.
He added that even “some” Democrats have expressed interest, and discussions are still underway. However, he declined to name the Democrats at the moment but said, “People love it.”
“If it gets approved, we’re gonna take the money, we’re gonna pay it back to the people of our country to go out and buy health insurance so they could put it in a health account,” Trump explained.
Trump believes this approach would offer citizens more flexibility in purchasing insurance at different levels, rather than being subject to insurers’ cost controls.
Meanwhile, Dr. Mehmet Oz, the administrator for the Centers for Medicare and Medicaid Services (CMS), in an interview with Dana Bash on CNN's State of the Union, on Sunday, “highlighted fundamental flaws” in the health care legislation and the manner in which COVID-era subsidies were added. "The president's willing to look at all options," said Dr. Oz, adding that “our goal is to get people covered."
GOP Senator Backs Trump’s Proposal
This proposal comes in the wake of the ongoing government shutdown, during which Trump called for the abolition of the Affordable Care Act (ACA), commonly known as Obamacare, and the direct allocation of federal healthcare funds to the American people.
Sen. Rick Scott (R-Fla.) backed Trump’s call and said, “I’m writing the bill right now.” Scott added that the President’s proposal would increase competition and lower costs while avoiding the wasteful expenditure of taxpayers’ money.
Experts Divided On Affordable Health Care Fixes
Trump’s proposal has been met with criticism, with former Transportation Secretary Pete Buttigieg denouncing it as a “bad deal” on health insurance and warning of potential premium hikes of up to 10% in 2026 due to Republican-backed policy changes to the ACA.
However, economist Peter Schiff, while not explicitly endorsing Trump's plan, reiterated his opposition to Obamacare, also known as the Affordable Care Act.
On November 14, through a post on X, he pointed out that Obamacare failed to rein in rising healthcare costs despite promises of affordability, and questioned why extending the enhanced subsidies, set to expire on December 31, 2025, would succeed where the original law did not.
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