US government cuts subsidies for 189,000 Obamacare enrollees
Officials said the removals will stop $738 million in improper subsidy payments this year and keep affected enrollees covered through other programs.
- On Oct 14, Health Secretary Robert announced the federal government will halt subsidy payments for 189,000 Affordable Care Act enrollees identified as duplicate or deceased, preventing $738 million in improper payments this year.
- Officials at the Department of Health and Human Services and the Centers for Medicare and Medicaid Services identified the improper enrollments after reviewing death records and government insurance data to ensure system accuracy.
- CMS Deputy Administrator Peter Nelson reported that 58,000 individuals already held Medicare coverage, while another 11,000 subsidized plans were terminated for deceased individuals; "when you check, the system gets cleaner," CMS Administrator Mehmet said.
- People identified as double-enrolled in Obamacare and other government programs are notified and given 30 days to provide evidence; affected individuals typically maintain coverage through Medicare, Medicaid, or the Children's Health Insurance Program.
- These removals follow a 2025 effort that ended dual enrollment for about 551,000 individuals and are separate from a recently announced purge of 760,000 accounts that were either ineligible or for people who do not exist.
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RFK Jr. announces a major healthcare fraud crackdown after the Centers for Medicare & Medicaid Services (CMS) flagged 189,000 improper or duplicate health coverage enrollments.The federal agency says stopping these improper subsidies could prevent $738 million in payments in 2026, with annualized savings exceeding $1.5 billion.The move targets questionable Affordable Care Act subsidies involving duplicate coverage, enrollment in other government…
US government cuts subsidies for 189,000 Obamacare enrollees
US Health Secretary Robert F. Kennedy Jr. said on Wednesday that the federal government will halt subsidy payments for 189,000 Affordable Care Act enrollees identified as duplicate or improperly enrolled in other government-sponsored plans or who were deceased, preventing $738 million in payments this year.
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