Trump Wants to End Obamacare and Send Money Directly to People — How Would This Affect Latinos?

• Trump rejects extending ACA subsidies.
• His proposal: send funds directly to people.
• Millions could face sudden premium hikes.

President Trump announced that he will not support extending the expanded ACA subsidies, a decision that complicates negotiations in Congress.

Instead, he proposes giving money directly to citizens rather than funneling funds to insurance companies.

With millions of Americans about to face significant increases in their premiums, the Latino community could be among the most affected by the lack of an immediate solution.

Impact on Health Insurance in the United States if Subsidies Are Eliminated

The president’s refusal to extend subsidies comes just weeks before key funding expires — money that helps millions of families pay for their health insurance.

These ACA subsidies capped the cost of a benchmark plan at 8.5% of household income and were essential during the pandemic.

Without them, the landscape changes dramatically:

• Premiums could increase up to 114%.
• Millions could lose access to affordable health plans.
• The system would face unprecedented strain.

Obamacare Faces Subsidy Cuts and a Structural Shift

Rejecting the subsidy extension also threatens the continuity of Obamacare, as the system partially relies on this funding.

During the government shutdown, Democrats tried to force an extension, but only secured an agreement to bring the issue to a vote.

Time for a solution is running out.

If the funds expire:

• Insurance costs will rise,
• Millions will lose Medicaid coverage,
• States will face heavy pressure to fill care gaps.

How Latino Health Coverage Would Be Affected

The Latino community depends heavily on health coverage provided through the ACA.

For millions of families, subsidies make the difference between having a health plan and being left completely unprotected.

The impact would be felt on two levels:

1. Unaffordable Costs
Without subsidies, many Latino families would have to pay thousands more per month, making coverage unsustainable.

2. Greater Economic and Medical Risk
Losing Medicaid coverage would mean a major setback in access to preventive care, treatments, medications, and primary care.

Direct Cash Payments: The Proposal Dividing Congress

Trump insists the only acceptable model is sending money directly to the people.

Senator Rick Scott is already working on a bill that would allow federal funds to be deposited into HSA-type accounts, letting users buy whichever coverage they want, according to CNN.

But experts warn that:

• This model could weaken the ACA,
• Young, healthy people would purchase cheaper, less comprehensive plans,
• Insurers would raise premiums for those who need more costly care.

What’s Next

If Congress doesn’t act before December 31, the subsidies will expire and millions of households will face a cost crisis.

For Latinos, access to health insurance in the United States could change drastically.

The coming weeks will be decisive in determining whether the system stays intact, evolves, or enters a phase of uncontrollable costs for the most vulnerable families.