'Wrongly ripped off': Trump turns $500M Obamacare fund into checks for Americans

Trump announced the move in a video posted on White House social media promoting his 'Great Healthcare Plan'
President Donald Trump said nearly 1 million Americans in 30 states would receive $500 refunds for money they were wrongly charged (Doug Mills/The New York Times/Getty Images)
President Donald Trump said nearly 1 million Americans in 30 states would receive $500 refunds for money they were wrongly charged (Doug Mills/The New York Times/Getty Images)

WASHINGTON, DC: President Donald Trump said nearly 1 million Americans will receive $500 Obamacare rebates, arguing excessive fees collected under Biden should be returned.

The White House said the payments will come from $500 million in accounts collected through Obamacare user fees.

Trump announced the refunds on Thursday, September 10, in a video posted on White House's social media promoting his “Great Healthcare Plan.”



President Trump says consumers were overcharged

Trump said the money would go to marketplace customers in 30 states who bought coverage without federal premium subsidies. 

The White House said that those consumers were overcharged through excessive user fees, which it said were passed to consumers through higher premiums.

“Our administration is doing the right thing and giving the money back to the people who were wrongly ripped off. Nearly 1 million hardworking Americans in 30 states will soon be getting refunds of $500 each, with a check sent to their home address,” Trump said.

COLUMBIA, SOUTH CAROLINA - FEBRUARY 27: Former President Joe Biden speaks to a crowd during a fundraising event with the South Carolina Democratic Party at the Columbia Museum of Art on February 27, 2026 in Columbia, South Carolina. The event marked the sixth anniversary of Biden's presidential primary win in the early voting state of South Carolina. (Photo by Sean Rayford/Getty Images)
Former President Joe Biden speaks to a crowd during a fundraising event with the South Carolina Democratic Party at the Columbia Museum of Art on February 27, 2026, in Columbia, South Carolina (Sean Rayford/Getty Images)

He said the checks would be dispatched “in just a few weeks.” 

The payments would be drawn from $500 million collected during Biden’s presidency that has been sitting in federal accounts.

The White House said the Biden administration collected excessive Obamacare user fees. 

Those fees, it said, were passed to consumers through higher premiums.

DALLAS, TEXAS - SEPTEMBER 09: U.S. President Donald Trump speaks on stage on the first day of the 2026 Republican National Convention at the American Airlines Center on September 09, 2026 in Dallas, Texas. U.S. President Donald Trump will headline the Republican National Committee's first-ever midterm convention as he aims to highlight his administration’s achievements and rally support for GOP candidates just two months before the upcoming elections being held on November 3. (Photo by Brandon Bell/Getty Images)
President Donald Trump speaks on stage on the first day of the 2026 Republican National Convention at the American Airlines Center on September 9, 2026, in Dallas, Texas (Brandon Bell/Getty Images)

The payments are limited to people who purchased marketplace coverage without federal premium subsidies in Alabama, Alaska, Arizona, Arkansas, Delaware, Florida, Hawaii, Indiana, Iowa, Kansas, Louisiana, Michigan, Mississippi, Missouri, Montana, Nebraska, New Hampshire, North Carolina, North Dakota, Ohio, Oklahoma, Oregon, South Carolina, South Dakota, Tennessee, Texas, Utah, West Virginia, Wisconsin and Wyoming, as per the New York Post.

The funds had remained in limbo over arguments about how they should be spent, the outlet said.

The Biden administration proposed using the money for no-cost contraception for people whose Obamacare plans did not cover it, but Republicans in Congress objected, and the proposal was withdrawn, the report said.

MIAMI, FLORIDA - JANUARY 28: An Obamacare sign is seen outside of the Leading Insurance Agency, whic
The White House said Biden's administration collected excessive Obamacare fees that raised consumers’ premiums (Getty Images)

Trump ties refunds to his healthcare plan

Trump framed the rebates as part of his healthcare agenda, which he urged Congress to pass on Wednesday night. 

His plan included a crackdown on insurance companies, making lower prescription medicine prices permanent and ending surprise medical billing.

“Our administration has discovered that under Sleepy Joe Biden, American households buying health insurance through the Obamacare exchange, which is a disaster, and the healthcare.gov were massively overcharged,” Trump said.

“We will pass the Great Healthcare Plan to stop all government payments to big insurance companies, and give the money directly to the people, for you to buy your own healthcare and have money left over,” Trump said.

WASHINGTON, DC - JANUARY 20: U.S. President-elect Donald Trump shakes hands with U.S. President Joe Biden at Trump's inauguration in the U.S. Capitol Rotunda on January 20, 2025 in Washington, DC. Donald Trump takes office for his second term as the 47th President of the United States. (Photo by Kenny Holston-Pool/Getty Images)
President-elect Donald Trump shakes hands with President Joe Biden at Trump's inauguration in the US Capitol Rotunda on January 20, 2025, in Washington, DC (Kenny Holston-Pool/Getty Images)

Healthcare costs remain a major concern

Healthcare affordability remains a major concern for Americans, according to an April poll from the Kaiser Family Foundation cited in the report.

Nearly two-thirds, or 64%, of adults said they worried about being able to afford medical care. That was on par with concerns about gas and transportation costs and higher than other economic issues.

President Barack Obama, his wife Michele and Vice President Joe Biden and his wife Jill wave to supporters in Chicago at an election day watch party in the McCormick Place convention center. (Photo by Ralf-Finn Hestoft/Corbis via Getty Images)
Barack Obama, his wife Michele and Joe Biden and his wife Jill wave to supporters in Chicago at an election day watch party in the McCormick Place convention center (Ralf-Finn Hestoft/Corbis via Getty Images)

Trump has also promoted other financial incentives as he seeks to keep his party in power, including proposed $5,000 tariff dividend checks if Republicans maintain their congressional majority.

He said the Obamacare rebates would be sent within weeks, potentially putting the payments in Americans' hands before the Nov 3 midterm election that will decide control of Congress.

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