President Donald Trump promised a cheering Alaska campaign rally that he would bypass private insurers and send healthcare cash directly to citizens.

The campaign pledge comes just one year after he signed the largest Medicaid spending cuts in American history into law.

Speaking in Wasilla on Tuesday, Trump offered few details while promising a 'truly great healthcare plan' if Republicans keep Congress next month.

Trump Mouths Direct Cash Pledges on the Campaign Trail

Trump told rally attendees he wants to halt federal disbursements to commercial insurers and redirect those revenues straight to families.

'We want to stop all payments to big insurance companies,' Trump declared to applause from the assembled crowd. He claimed he would 'give the money directly to you, the people,' so voters can 'go out and buy better healthcare.'

While supporters applauded the remarks, critics mocked the response, with one observer describing the audience as "clapping like seals." Patient advocates countered that Republican policies have made medical access far more brutal and expensive over the past two years.

Advocates Condemn Billionaire Tax Handouts

Healthcare leaders reacted furiously to Trump's speech, contrasting his rhetoric with the steep healthcare cuts enacted by his administration. 'All they did was cut Medicaid by $1 trillion to give tax cuts to billionaires,' Dr Rob Davidson wrote on X.


The executive director of the Committee to Protect Healthcare added that three million people lost insurance coverage under the administration's policies. 'He's so completely full of shit,' Davidson stated on social media, "and voters across the country know it."

Protect Our Care president Brad Woodhouse said more than 34,000 Alaskans had already lost health coverage after Republicans cut Medicaid and Affordable Care Act support. 'Trump has the audacity to waltz back into the state and act like none of it ever happened,' Woodhouse said.

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He warned that Trump is using 'desperate bribes' while families stretch their medications, skip clinical checkups, and face spiralling medical debts.

Rural Hospitals Threatened by Legislative Overhaul

The political battle stems from the One Big Beautiful Bill Act, signed into law as a reconciliation package in July 2025.

Prominent health economist David M. Cutler condemned the statute, describing it as 'the worst piece of health care legislation ever.'

The law is projected to reduce federal health spending by about £826.07 billion ($1.1 trillion) over 10 years, with most of the reduction coming from Medicaid.

The Congressional Budget Office estimated that the law's health coverage provisions would leave about 10 million more people uninsured in 2034 than under its previous projections. New rules force enrollees to log 80 hours of monthly work or community service, verified every six months.

The Congressional Budget Office estimates that Medicaid work requirements will reduce federal spending by £244.84 billion ($326 billion) over 10 years.

The statute also limits state provider taxes, shifting heavy financial costs onto local governments and straining fragile clinics. Rural communities face a $140 billion drop in federal funding, leaving hundreds of hospitals, nursing homes, and maternity wards facing closure.

Meanwhile, analysts note that roughly half of the law's £751.04 billion ($1 trillion) in savings funded tax cuts for corporations and the wealthy.

Escalating Support for Single-Payer Reform

Medicaid serves as a vital backbone of American healthcare, covering 74 million people or roughly one in five US residents.

Health policy scholar Julie Donohue noted the program funds 40% of births, half of all children, and two-thirds of nursing home residents. She also rejected accusations of patient fraud, pointing out that financial abuse is far more common among corporate healthcare providers.

At the same time, public support for single-payer healthcare has climbed to record highs. A recent KFF survey found 66% of Americans back Medicare for All, while Axios polling showed supporters outnumber opponents two to one.

Trump has criticised universal healthcare, claiming that a government-run system could cost more than the federal government takes in.

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