[Congressional Record Volume 171, Number 208 (Wednesday, December 10, 2025)]
[Senate]
[Pages S8583-S8584]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
AFFORDABLE CARE ACT
Mr. GRASSLEY. Mr. President, on Monday, the Wall Street Journal
editorial board published an article titled ``ObamaCare is a Mecca For
Fraud.''
It articulates the waste, fraud, and abuse in the ObamaCare Program,
so I am going to read this article on the floor today and do it for the
benefit of my colleagues that maybe don't always read these editorials.
So quoting, and I will try to leave out commentary comment. If I do
that, I will identify it as such.
The Minnesota Medicaid grift illustrates how open-ended
government welfare can easily become an inducement for fraud.
A new Government Accountability Office report finds the
pandemic-era sweetened ObamaCare subsidies are . . . ripe for
gaming.
The GAO last fall began an undercover test in which it
submitted insurance applications for fictitious individuals
to the federal ObamaCare exchange and insurance brokers.
Nearly all of its invented people were able to enroll in
subsidized plans despite submitting false or no records to
verify their identities and incomes.
Of GAO's 24 applications, 23 were approved. Eighteen
enrollees were still covered as of September, suggesting that
the exchange and insurers didn't verify information even
after enrollment. The subsidies paid to insurance companies
for those 18 applicants totalled more than $10,000 per month,
equivalent to a $6,700 annual subsidy for each enrollee.
GAO says in some cases ``we were not prompted to provide
documentation'' to verify an applicant's identity. No Social
Security number? No problem. In another instance, the
ObamaCare exchange ``notified us that it had verified the
applicant's estimated income based on documentation we
submitted. However, we did not submit documentation.''
In two cases, brokers called the ObamaCare help center
because applicants had submitted invalid Social Security
numbers. The center let brokers submit the
[[Page S8584]]
fraudulent applications anyway. This suggests the Centers for
Medicare and Medicaid Services, which runs the federal
ObamaCare exchange, was ignoring fraud.
GAO also analyzed enrollment data in 2023 and 2024 for data
anomalies. It found more than 29,000 Social Security numbers
in 2023 and nearly 68,000 in 2024 that were used to receive
more than one year's worth of insurance coverage with
subsidies in a single year--meaning the same Social Security
number was used by more than one person.
In 2023 one Social Security number was used to apply for
more than 125 policies. Perhaps this was identity theft, but
it's also possible brokers submitted fake Social Security
numbers to enroll ineligible or phantom people in plans.
Brokers earn more in commissions from insurers if they enroll
more people in ObamaCare.
The Justice Department has charged numerous brokers with
enrolling people in ObamaCare plans, or switching them to new
plans, without their consent. GAO identified at least 30,000
applications in 2023 and 160,000 in 2024 that had ``likely
unauthorized changes by agents or brokers.''
GAO also found that incomes weren't later verified for
enrollees who received $21 billion in subsidies in 2023. That
means they might have received bigger subsidies than they
were eligible for. The Paragon Health Institute's Brian Blase
has warned that ObamaCare's lax verification controls
encourage people to understate income to get bigger
subsidies.
Using Census Bureau data, Mr. Blase estimates that about
6.4 million people this year were improperly enrolled in
subsidized ObamaCare plans, costing taxpayers $27 billion. He
has also found that about 40 percent of enrollees in plans
fully subsidized by the government filed no medical claims.
GAO's report suggests many may not be real people. Others may
have employer coverage and been enrolled by brokers without
their knowledge.
This year's GOP tax bill included modest reforms to prevent
ObamaCare fraud, such as requiring the exchange to verify
Social Security numbers and income data before enrolling
applicants in plans. It also requires people to repay the
government if their incomes turn out to be higher than
what they estimated on their applications. The
Congressional Budget Office projected that the tax bill's
ObamaCare fraud controls could result in about one million
more people going uninsured, but most aren't eligible for
subsidies--and some might not even exist.
Democrats want to boost enrollment in ObamaCare no matter
the cost because they view the subsidized and regulated plans
as a way-station to a single-payer system. Senate Minority
Leader Chuck Schumer plans to tee up a vote this week to
extend the pandemic-era subsidies, which have been an
inducement for fraud.
Republicans would be wise to remind voters that Democrats
sold ObamaCare on false pretenses--e.g., it would make
healthcare ``affordable.'' Extending the subsidies would
perpetuate that fraud.
That is the end of my reading of the Wall Street Journal of Monday of
this week.
I yield the floor.
I suggest the absence of a quorum.
The PRESIDING OFFICER. The clerk will call the roll.
The senior assistant legislative clerk proceeded to call the roll.
Mr. THUNE. Mr. President, I ask unanimous consent that the order for
the quorum call be rescinded.
The PRESIDING OFFICER. Without objection, it is so ordered.
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