Donald Trump has pledged to send $500 checks to nearly 1 million Americans who the White House says were overcharged for Affordable Care Act coverage under 
Joe Biden's administration. The White House said the refunds would start going out in October to people in 30 states who buy health insurance through the federal marketplace and receive no financial help. In a recorded message posted Thursday to the White House account on X, Trump alleged without evidence that enrollees had been "massively" overcharged, The Hill reported.
Who would receive the payments? The refunds are aimed at marketplace customers who do not qualify for income-based subsidies and so pay the full cost of their plans, a bill the BBC reported can run to hundreds of dollars a month. Officials said the payments were meant to refund Americans who faced higher premiums. Eligible states include Florida, Texas, North Carolina, Ohio, Michigan and Wisconsin, and the administration said cheques would be mailed directly to households. Trump's promise of rebates to people in swing states comes right before the midterms, The Hill reported.
Where does the money come from? A White House fact sheet released Thursday said these full-price buyers were "most exposed" to marketplace "user fees" added to premiums. It said fees collected under Biden were "far in excess of what was needed to run the exchange" and had created a surplus, which the White House said would fund the payments. The fact sheet did not say how large the surplus was, or whether there were plans to lower fees and premiums in the near future, the BBC reported.
What is the wider context? Trump tried to repeal Obamacare in his first term and has sought to change it in his second, repeatedly calling for its replacement without outlining a detailed alternative. The refunds come on top of the $5,000 payments he recently pledged to send Americans if Republicans win control of Congress in November's elections. Enrolment in Medicaid and the law's marketplaces has fallen by about 8 million people since his return to office, the BBC reported. Most Democratic lawmakers had not yet responded to the announcement, though they have previously defended the law as a key source of affordable health coverage.
Figures referenced: Donald Trump, Joe Biden. — JudgeMarket.
