President Donald Trump unveiled a healthcare proposal Jan. 15 that would redirect government subsidies away from insurance companies and into direct payments for consumers to purchase their own coverage through health savings accounts.

Speaking from the Oval Office, Trump said “The Great Healthcare Plan” is designed to lower prescription drug prices, reduce insurance premiums, and hold large insurance companies accountable. 

“I am thrilled to announce my plan to lower healthcare prices for all Americans and truly make healthcare affordable again,” Trump said. “We’re doing things that nobody’s ever been able to do. We’re calling it The Great Healthcare Plan.”

Trump said the proposal would change how federal healthcare dollars are distributed. 

“The government is going to pay the money directly to you. It goes to you, and then you take the money and buy your own healthcare,” he explained, adding that “the big insurance companies lose and the people of our country win.”

According to a White House fact sheet, the plan focuses on four core areas: 

• Lowering drug prices by codifying the administration's “most-favored-nation” (MFN) deals, which would align U.S. prices with those paid in other nations in the developed world and make more drugs available over the counter to increase competition.

• Lowering insurance premiums by redirecting billions in taxpayer-funded subsidies from insurance companies directly to eligible Americans, allowing them to choose their own plans. The proposal also promotes funding a cost-sharing reduction system, which the White House said would save taxpayers around $36 billion and cut common Obamacare plan premiums by more than 10%.

• Holding insurance companies accountable through a “Plain-English Insurance” standard requiring insurers to publish rate and coverage comparisons on websites, disclose revenue breakdowns (claims vs. profits/overhead), and report claim denial rates and wait times for routine care.

• Maximizing price transparency by mandating that Medicare and Medicaid providers post pricing and fees prominently in their facilities.

The White House also launched a new website, GreatHealthcare.gov, ahead of the announcement.

The proposal calls on Congress to pass a series of measures, many of which stem from executive orders Trump has signed during his current term. Because the framework would overhaul federal healthcare spending and tax policy, congressional action is required to give the changes legal authority and permanence. 

“I’m calling on Congress to pass this framework into law without delay,” Trump said from the Oval Office. “We have to do it right now so that we can get immediate relief to the American people.”  

According to FOX News, the Senate is expected to vote soon on extending Affordable Care Act subsidies that expired at the end of 2025 and became a major point of contention during the October government shutdown. The outlet reported that the House passed a bill Jan. 8 to extend the subsidies for three years.