President Donald Trump has proposed a new plan to redirect billions of dollars in Affordable Care Act subsidy money towards everyday Americans’ health-savings accounts. The idea, which some experts say could create a “death spiral” in the ACA marketplaces, has drawn criticism from many Democrats and health economists.
The plan aims to give people more control over their healthcare spending by allowing them to save money in tax-free flexible spending accounts (FSAs). However, critics argue that this approach could leave sick individuals without financial support when they need it most.
Some Republicans are also exploring alternative solutions, such as rebate checks or a reinsurance fund to help temper premium spikes. Meanwhile, Democrats are pushing for an extension of the ACA subsidies, which would provide more funding for health insurance companies and potentially increase the number of insured people by nearly 4 million over the next decade.
The debate around Trump’s plan highlights the ongoing struggle to find a solution to the rising cost of healthcare in the United States. As lawmakers navigate this complex issue, they must consider the competing interests of different groups, including insurers, patients, and taxpayers.
With millions of Americans’ health care hanging in the balance, the outcome of this debate could have significant consequences for the country’s healthcare system.
Source: https://www.washingtonpost.com/politics/2025/11/16/gop-healthcare-plans-trump