Great Healthcare Plan: President Donald Trump on Thursday rolled out the framework of what he calls the “Great Healthcare Plan,” urging Congress to move quickly on legislation aimed at lowering prescription drug prices and insurance premiums. The proposal comes as Republicans face growing pressure to address rising healthcare costs following the expiration of key insurance subsidies.
In a video released by the White House, Trump said Americans should receive healthcare funds directly, allowing them to choose and manage their own insurance without federal oversight. “The government is going to pay the money directly to you,” Trump said, adding that individuals would then use those funds to purchase healthcare coverage.
THE GREAT HEALTHCARE PLAN.
President Donald J. Trump unveils the Great Healthcare Plan to lower costs and deliver money directly to the American people. 🇺🇸 pic.twitter.com/VWtNZzNbQC
— The White House (@WhiteHouse) January 15, 2026
Key Proposals: Drug Pricing, Health Savings Accounts
According to the White House, the plan would formalise Trump’s long-standing push to reduce drug prices by tying them to the lowest rates paid by other countries. Another central feature is the expansion of health savings accounts, with direct government contributions meant to give consumers greater control over healthcare spending.
Trump called on lawmakers to pass the framework without delay, saying swift action is needed to provide immediate relief to Americans struggling with medical expenses and insurance premiums.
Political Pushback And Subsidy Debate
Democrats were quick to criticise the proposal, calling it insufficient to address the scale of healthcare affordability challenges. It remains unclear whether any lawmakers have formally begun drafting legislation based on Trump’s framework.
The proposal comes against the backdrop of the expiration of enhanced tax credits that had lowered insurance costs for most Affordable Care Act enrollees. Those credits ended in late 2025, despite Democrats triggering a 43-day government shutdown in an unsuccessful bid to extend them.
Republican Senator Bernie Moreno of Ohio is currently leading a bipartisan group of 12 senators working on a compromise to extend the subsidies for two years while tightening eligibility rules. That proposal would also introduce a health savings account option in its second year, an idea aligned with Trump’s approach.
Impact On Premiums And Market Concerns
Trump said his plan would also lower premiums by fully funding cost-sharing reductions (CSRs), which help insurers reduce out-of-pocket costs for low-income Affordable Care Act enrollees on mid-tier silver plans. Federal reimbursement for CSRs was halted during Trump’s first term in 2017, prompting insurers to raise silver-plan premiums to offset losses.
