WASHINGTON — A new Senate Republican proposal that would send up to $1,500 directly into Americans’ health savings accounts is earning strong support from President Trump.
Speaking aboard Air Force One on Tuesday night, Trump praised the idea, saying he preferred sending money straight to families rather than insurers.
“I like the concept,” he told reporters. “I don’t want to give insurance companies any money. They’ve been ripping off the public for years. Obamacare is a scam to make insurance companies rich… billions and billions of dollars go straight to them.”
The bill — which had been expected to receive a vote in the Senate this week — aims to ease rising health-care costs for roughly 24 million Americans enrolled in the Affordable Care Act (ACA).
Under the proposal, eligible ACA enrollees ages 18 to 49 would receive $1,000, while those 50 to 64 would receive $1,500.
To qualify, households must earn no more than 700% of the federal poverty level — up to $109,550 for an individual or $225,050 for a family of four.
Applicants must also be enrolled in bronze-level ACA plans — which account for about a third of marketplace enrollees — or catastrophic plans, which cover fewer people. Both types carry high deductibles but differ on premiums.
The bill allocates up to $10 billion for these payments, which would be deposited directly into health savings accounts. The funds cannot be used for certain restricted medical procedures.
Some legally present immigrants may also qualify.
Those enrolled in silver, gold, or platinum ACA plans, as well as Americans with employer-sponsored insurance, Medicare, or Medicaid, would not be eligible.
Sen. Bill Cassidy (R-La.), a co-sponsor of the bill, applauded Trump’s support.
“I absolutely agree with President Trump that we need to redirect subsidies from insurance companies and give patients the power,” he said. “Republicans want real solutions that make health care affordable and put money in families’ pockets.”
The legislation is slated for a procedural vote Thursday, alongside an $83 billion Democratic bill to extend ACA subsidies for three more years — a vote Democrats secured as part of last month’s government funding deal.
The push comes as Trump sharpens his economic message ahead of the 2026 midterms, promoting ideas such as $2,000 tariff rebate checks and $1,000 savings accounts for children.
Americans continue to feel the impact of roughly 20% cumulative inflation during Joe Biden’s presidency, with consumer prices up another 3% in the latest federal data.
The Trump White House has rejected claims that tariffs are adding to higher prices, arguing that they’ve strengthened U.S. manufacturing and improved America’s trade position.
At an event in northeastern Pennsylvania on Tuesday, Trump told supporters his top priority was “making America affordable again,” touting tax relief measures that take effect Jan. 1 — including no taxes on tips, overtime, or Social Security income for seniors.
White House spokesman Kush Desai said Democrats’ approach “simply hands more money to insurance companies,” while Trump’s focus remains on lowering drug prices and targeting waste and fraud within the system.
