January 1, Obamacare Profits Skyrocket for Insurers

Wyatt’s Take

• Big health insurance firms raked in record profits after Obamacare and its taxpayer-funded subsidies.
• Insurance industry executives poured more support into Democrats as federal subsidies made them richer.
• Trump claims the system rewards corporations, while ordinary folks see costs rise.

The federal shutdown brought attention to how much health insurance companies have gained from Obamacare subsidies. These firms benefited from $1.8 trillion in government payouts in 2023 alone, keeping their booming business afloat.

When the Biden administration expanded Obamacare subsidies during the pandemic, Democrats pushed to make them permanent. Since the law’s passing, health insurance giants have reaped huge profits and seen their stock values soar—far outpacing ordinary market growth.

President Trump openly called Obamacare a ‘scam’ that fills insurance company pockets, not lowering costs for average Americans.

“Democrats claim to be working for ‘the little guy,’ and driving down your Health Insurance, but the OBAMACARE SCAM goes STRAIGHT TO THEIR BEST FRIENDS IN THE INSURANCE INDUSTRY. THEY ARE MAKING A ‘KILLING,’ while Health Coverage only gets WORSE,” Trump posted to Truth Social.

He added, “If Democrats get their way again, they’re in for another HUGE Payday at the expense of the American People. NO DEAL! Republicans should give money DIRECTLY to your personal HEALTH SAVINGS ACCOUNTS that I expanded in our GREAT BIG BEAUTIFUL BILL.”

Donations from the insurance companies’ executives and PACs increasingly flowed to Biden and Harris, whose administration expanded the subsidies. Trump received far less support from these sources.

Internal talks show the companies know ending subsidies would hurt. CEOs told investors they’d likely raise rates or quit markets if government help dried up, admitting their reliance on public funds.

UnitedHealth Group’s CEO shared that two-thirds of Obamacare customers could drop coverage if rates jump or markets shrink. Elevance and Centene each warned investors about troubles ahead as government-backed programs strain their profits.

Representative Mariannette Miller-Meeks from Iowa said on TV, “It is a form of corruption, it is a form of corporate welfare to very profitable insurance companies, and it has to stop.”

She continued, “More importantly, it doesn’t bring health care costs down. It may make it more affordable for one person, but it doesn’t have any incentive for the insurance companies to bring down health care costs. So all you’re doing is…that you’re continuing ratcheting up premiums, because the insurance companies are getting directly subsidized by the taxpayers.”

Even more, about a third of subsidized Obamacare health plans go unused, meaning pure profit for insurers, paid for by working Americans.

If you’re tired of seeing big corporations pocket your tax dollars while health costs go up, it’s time to make your voice heard. These issues hit the kitchen table in every home across the heartland.

Wyatt Matters

This shows how federal health policies often end up boosting big business while regular Americans get stuck with more expensive care. Middle America keeps footing the bill while the wealthy and powerful cash in.

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