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President Donald Trump called upon Senate Republicans today to send Obamacare (Affordable Care Act – ACA) subsidy funds directly to taxpayers rather than to the insurance companies who will reap billions from a health insurance program that has only led to skyrocketing costs and a decline in the quality of health care in America.
Trump expanded on Truth Social about the catastrophic effects of President Barack Obama’s signature legislation.
“I am recommending to Senate Republicans that the Hundreds of Billions of Dollars currently being sent to money sucking Insurance Companies in order to save the bad Healthcare provided by ObamaCare, BE SENT DIRECTLY TO THE PEOPLE SO THAT THEY CAN PURCHASE THEIR OWN, MUCH BETTER, HEALTHCARE, and have money left over,” the president wrote this morning. “In other words, take from the BIG, BAD Insurance Companies, give it to the people, and terminate, per Dollar spent, the worst Healthcare anywhere in the World, ObamaCare.”
Sen. Rick Scott (R-FL) responded quickly to the president’s call.
“Totally agree,” he replied to Trump on X. “I’m writing the bill right now. We must stop taxpayer money from going to insurance companies and instead give it directly to Americans in HSA-style accounts and let them buy the health care they want. This will increase competition & drive down costs.”
In a hearing Thursday led by Sen. Ron Johnson (R-WI), Paragon Health Institute President Brian Blase, Ph.D. provided to the Permanent Subcommittee on Investigations a thorough assessment of the damage created by Obamacare.
Blase testified that his family, with five children, had to enroll in Obamacare for four years, due to “a lack of options.”
“I’ve seen firsthand the real problems with the law,” he explained, adding:
The ACA promised affordable, high quality insurance, and it failed to deliver. Millions of people lost health plans they liked. Millions of families faced massive premium and deductible increases for worse coverage that included fewer doctors and hospitals. The ACA significantly contributes to rising deficits and unsustainable debt, leaving young families, their children and future generations with higher taxes and inflation. The law entrenched an inefficient, insurance-dominated health sector, with massive subsidies flowing straight from the Treasury to health insurance companies.
Obamacare’s numerous regulations, Blase said, hiked premiums for most Americans in order to “decrease them for a small number.”
The “subsidies” then became necessary “so people could afford coverage that the government regulations had made more expensive,” he continued, pointing out the vicious cycle of higher premiums creating greater pressure for yet more subsidies.
“If Congress wants to make health care more affordable, it must reform the structure itself, not throw good money after bad,” Blase urged, noting that Obamacare has created a system whereby “insurers face virtually no price discipline, giving them incentives to inflate costs rather than improve value.”
He observed that Obamacare’s “essential health benefit mandates” also required all insurance plans to cover the same services – regardless of whether Americans need them!
“These rules increase wasteful spending and premiums,” Blase said, explaining also how “COVID-era subsidy boosts resulted in fully subsidized coverage and led to massive fraud in the program”:
In 2025, there are 6.4 million people enrolled in fully subsidized plans who are not eligible, costing $27 billion in 15 states. There are more than twice as many enrollees in fully subsidized plans that are eligible. Many of these enrollees were signed up without their knowledge or consent, victims of massive fraud schemes. A staggering 40% of fully subsidized enrollees used no medical services in 2024. Many of these zero-claim enrollees are phantoms. Federal taxpayers sent more than $35 billion to insurers for people who did not use their plan a single time. The ACA subsidy structure, particularly with the COVID credits, incentivize small employers to drop coverage. The percentage of small employers offering a health plan has dropped by 1/3 since 2010. The ACA has also led some state and local governments to drop retiree health coverage, offloading that expense onto the federal taxpayer the COVID credits by lifting the subsidy cap at four times the federal poverty level.
Continuing the COVID Obamacare subsidies, Blase warned, “would exacerbate fraud, increase premiums and health care prices, drive out alternative financing arrangements, remove the imperative to reform this failing program and drive the country deeper in debt.”
“Real reform does not mean spending more taxpayer money,” he concluded. “It means giving consumers the freedom to choose the coverage and care that best meets their needs.”
As Lumen-News reported October 30, Democrats in Congress continue to keep the federal government shut down in order, they claim, to save the COVID-era temporary Obamacare (Affordable Care Act) subsidies they had already voted to terminate at the end of 2025.
Extending the subsidies will hand over billions more to big health insurance companies who, in turn, will donate millions to Democrat incumbents, campaign committees, and Political Action Committees (PACs).
In 2010, former House Speaker Nancy Pelosi issued what may be her most infamous statement during the debate over Obamacare: “We have to pass the bill so that you can find out what is in it.”
Senate Democrats’ refusal to open the government over the temporary Obamacare subsidies has now given ample time for analysis of “what is in it.”
Due to Obamacare’s regulations – financially and administratively costly for most independent physicians –many Americans have seen the end of independently-owned medical practices.
Data from the American Medical Association (AMA) shows that, as of 2024, just 42.4% of physicians work in private practice, down from 60.1% in 2012. Additionally, as Becker’s ASC Review reported in June, the number of physicians employed by hospitals soared 33% between 2013 and 2022 – from 157,000 to over 205,000.
Patient-centered, direct care, membership, and independent practices, however, allow patients to obtain health care without the interference of government and health insurance companies.
Such care, however, as Blase said, should be available to all Americans.
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