USA · updated 1h ago · 3 min read
Donald Trump’s Administration Sends $500 ACA Refund Checks To Nearly 1 Million Americans
Nearly 1 million Americans in 30 states will receive $500 ACA refund checks. Checks of $500 go to those overcharged through the ACA's federal exchange.
14 outlets told this the same way.
9 of 11 outlets skipped it: checks may be multiple per household member.
14outlets compared
$500 Checks Begin
President Donald Trump said his administration is sending $500 checks to nearly a million Americans enrolled in Affordable Care Act health plans, with the U.S. Treasury releasing the payments to more than 950,000 people across 30 states.
Trump’s letter tells recipients, “For years, the Biden Administration overcharged you to fund the operation of HealthCare.gov. That money belongs to hard-working Americans, not the Government, and now, I am returning it to you!”
The Treasury Department began mailing the $500 checks Wednesday to people enrolled in Obamacare health insurance plans through the federal Affordable Care Act marketplace, and the checks are accompanied by letters signed by Trump.
The White House said the refunds come from surplus user fees collected by the federal marketplace, and the refunds are expected to total about $500 million.
The payments are expected to go to people in 30 states that use the federally operated ACA marketplace, while the other states run their own exchanges and are not included.
Who Gets Them
The Trump administration said the $500 checks will primarily go to people who purchased health insurance through HealthCare.gov but did not receive federal premium subsidies and therefore paid the full cost of their premiums.
CBS News reported that some families with more than one “affected person” could receive multiple payments via check or direct deposit, and the administration official said the primary recipients earn above 400% of the federal poverty line.
CNBC said the recipients will receive a letter dated Sept. 30 from President Donald Trump, which is being mailed starting Thursday, and the Treasury Department is releasing the checks to more than 950,000 Americans in 30 states.
The White House said the states receiving refunds rely on federal exchanges administered by the Centers for Medicare and Medicaid Services, which charges a user fee, and the White House said the surplus came from those fees.
NewsNation said the payments are $500 per eligible person and households with more than one qualifying member could get more than one check, while the checks are sent automatically.
Political Timing and Debate
The Trump administration said the refund effort is tied to the midterm elections, with the payments coming just over a month before Americans head to the polls for the midterm elections. Business Insider said the payments are part of a trend of Trump promising cash payments in his second term, and the president said this month he would send every American adult a $5,000 “Trump dividend” if Republicans maintained control of the House and Senate in November. NewsNation said it is unclear how the $500 amount was determined, where the money is coming from and whether Congress needs to approve it.
Investopedia said the White House told it the exchanges collected more than they needed to operate and that the surplus will go to more than 950,000 people who did not receive tax credits or other help with premiums. The White House said the refunds are separate from rebates required under the ACA’s medical loss ratio rules, and the Houston Chronicle reported that Texas is set to receive roughly 139,000 refunds, including about 139,000 people set to receive the refunds.