Though the government shutdown has ended, the fight over Obamacare is still raging.
Democrats want to extend and renew the Affordable Care Act’s expanded COVID-era subsidies, which are set to expire on December 31. Doing so would cost American taxpayers hundreds of billions of dollars over the next decade. Republicans want to let the subsidies lapse, and find a way to reform America’s healthcare system.
Ryan Long, Senior Research Fellow at the Paragon Health Institute, told The Daily Wire that the expanded subsidies have created zero-dollar insurance plans that have sparked widespread fraud and abuse.
“There’s upwards of 6 million people who aren’t actually within that income category that are claiming credits as if they were in that income category,” he explained. “In certain states, there are three to four times as many people enrolled in a 100 to 150% of poverty in these $0 plans than there are people actually in those income brackets.”
“So these COVID credits have just produced massive amounts of fraud,” he said. “The federal government’s paying, you know, upwards of $27 billion to $30 billion in fraudulent payments.”
Centers for Medicare & Medicaid Services Administrator Mehmet Oz echoed this concern last week. “Today, it’s over 11 million people who have Obamacare, never use their policies … which means they often don’t know that they have it,” he said. “Yet we’re stuck with the bill.”
Obamacare is also making health insurance more expensive. Obamacare plan premiums have climbed a whopping 169% since 2013. The increase is far steeper than that of employer-sponsored insurance, because when prices rise, the government is paying most of the cost, so insurers can keep raising them without people feeling the impact, Long explained.
“What we’ve seen is since the [ACA] was established or implemented in 2014, employer-sponsored premiums have gone up about 68%. ACA premiums have gone up 129%,” he said. “So that can’t be a function of just prices going up. There’s something truly wrong here.”
Healthcare costs and wait times have not improved since the implementation of Obamacare, either. So, where is all this money going?
Senator Ron Johnson (R-WI) told The Daily Wire in an interview this week that a lot of this money is going to insurance companies.
“The largest carrier of exchange policies is UnitedHealthcare,” he said. “Their stock price has gone up 1,177 % since the invitation of Obamacare. Of the top seven carriers, the smallest amount of stock increases — I think, 414%. A lot of money into the insurance companies, a lot of money into the hospitals. There’s no doubt about it that we’ve got rural hospitals that are in trouble, but the big city hospitals making money hand over fists.”
“There is nothing about Obamacare that created incentives to save money,” he emphasized. “All the incentives are to increase the money spent on healthcare so everybody gets their cut, everybody gets to make their profit. Non-profit hospitals, take a look at the pay of CEOs —some of them are making over $30 million a year in total compensation.”
“Money is flowing into the medical establishment, they’re making money hand over fists; the tabs are being picked up by the American taxpayer,” the senator told The Daily Wire.
Democrats’ solution to the healthcare crisis is to continue to extend and expand subsidies.
“We had a provision that was ready to be signed, that we know would’ve decreased premiums by 10 to 15%,” Long said. “Senate Democrats objected to it — the same policy that they were saying we had to do back in 2018. And so I think that they’ve just said, ‘Hey, the horse is outta the barn, we’ll just, you know, paper over any mistakes with more subsidies.’”
Johnson said Democrats are insisting on extending the COVID-era subsidies “to paper over to hide the fact that Obamacare has just been a miserable failure.”
“It caused premiums to skyrocket, as opposed to … President Obama saying that he would reduce premiums by $2,500 a year by family — again, that’s a total lie,” he added.
Johnson also pushed back on Democrats’ claims that premiums will double for millions and millions of Americans if the subsidies aren’t extended.
“Twenty-two million of the 24 million people will still get their subsidies, the original Obamacare subsidies, which subsidize the insurance at 91 % of the premiums,” he explained. “So their premiums won’t double.”
“Now, you can argue that people that went from paying a negligible amount to zero premiums, they’re going to have to pay another negligible amount,” Johnson said. “But again, going from zero to a negligible amount is an infinite increase. You can’t put that as ‘doubling premiums.'”
“The people we’re talking about, the 1.6 million people whose subsidies completely go away — I’m willing to work with Democrats on that,” the senator added. “But again, it’s simply false to say that most people are gonna see their premiums double and triple. Now, the gross premium has more than doubled and tripled since Obamacare, but that’s because of Obamacare.”
The GOP believes that deep reforms need to be made — or Obamacare needs to be scrapped entirely.
President Donald Trump has proposed HSA-style accounts for Americans, allowing them to purchase their own healthcare plans, opening up the market, and bypassing insurance companies.
“I am calling today for insurance companies not to be paid,” Trump said last week. “But for this massive amount of money to be paid directly to the people so they can buy their own healthcare. They’re gonna buy their own healthcare, and we’re gonna forget this Obamacare madness.”
🚨 WOW! President Trump has the Democrats TOTALLY CORNERED on Obamacare
“I am calling today for insurance companies NOT to be paid. But for this massive amount of money be paid DIRECTLY to the people so they can buy their own healthcare!”
“Their stocks have gone up 1,000%!… pic.twitter.com/V8gWK8RdSo
— Eric Daugherty (@EricLDaugh) November 13, 2025
Republicans seem to be on board with the proposal. In fact, Sen. Rick Scott (R-FL) said last weekend that he’s drafting legislation to put this idea into action.
Long said this could be a good move for Americans. If Congress were to adequately fund Cost-Sharing Reductions (CSR) — which are supposed to help people pay for things like deductibles and copays — that could drastically lower premiums and cut tens of billions of dollars in taxpayer funding, he explained. And, as Trump proposed, sending that money straight to Americans rather than insurance companies would only empower patients.
“One thing that we’ve advocated for is if you appropriate those CSR subsidies, which is one of the twin pillars of the subsidy structure from the ACA, you’ll reduce premiums by 10 to 15%,” he explained. “Two, you’ll lower federal spending by about $30 billion. You’ll give patients more power and choice. And we think with that power and choice, you’ll also have the effect of them being better shoppers, and that will lead to more competition and choice.”
“So one thing that you could do is appropriate those CSR subsidies, and instead of giving those CSRs straight to the insurance company, you can give those to people in an HSA, where they can have more power to shop around for more valued services or better-priced services,” he elaborated. “Again, you’ll have the twin effects of lowering premiums, lowering federal spending, and empowering patients, which we think is sort of a triple winner.”
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