Data released by the health-policy organization KFF shows that around 1.6 million Americans have been removed from the federal Medicaid health insurance program during the first six months of President Donald Trump’s second term, according to Newsweek.
This came as part of a broad Medicaid “unwinding” process that began after the expiration of the pandemic-era waivers. The wave of removals is tied to the end of expansions allowed under former President Joe Biden, which enabled millions of additional Americans to maintain coverage during the public health emergency.
Although disenrollment has been ongoing since March 2023, experts warn that the current phase is increasingly concerning given the legislative package known as “One Big Beautiful Bill,” which includes an estimated $1 trillion in cuts to Medicaid funding.
Experts Warn of Deeper Medicaid Losses Amid New Cuts and Rising Costs
According to projections from the Congressional Budget Office, these measures could push millions of Americans out of the subsidized healthcare system. Experts caution that administrative work-requirement rules could also add burdens that may cause people to lose coverage even if they qualify for assistance.
Additional support programs created under the Obama administration—and later strengthened by Biden—had offered enhanced tax credits to help Americans purchase ACA marketplace health plans. But the Trump administration’s decision not to extend these subsidies effectively ends those benefits. Estimates suggest that the average cost of marketplace health plans will rise by roughly 20% starting next year, directly affecting small-business workers, retirees, and students.
Data shows that Medicaid enrollment rose from 64.5 million before the pandemic to 87 million at the height of the emergency in early 2023, before declining due to the unwinding process. By January 2025, enrollment had fallen to 72 million, dropping further to around 70.3 million by July of the same year.
While some experts say the uninsured rate remains at “moderate” levels, others note significant state-level disparities, with some states seeing enrollment drops exceeding 15% compared to pre-pandemic levels.
Experts Warn of Severe Care Disruptions as Millions Risk Losing Coverage
Health-policy scholars warn that losing coverage—or being forced to switch plans—creates disruptions in access to care. Patients may need to change doctors or pharmacies due to network differences. They highlight especially vulnerable groups, such as children with special needs and patients receiving specialized treatment in centers that rely heavily on Medicaid reimbursement.
Analysts argue that administrative paperwork and work-verification rules may impose substantial “indirect costs” on low-income families, particularly those with chronic illnesses or limited understanding of the healthcare system.
Researchers widely agree that the convergence of Medicaid cutbacks, expired tax credits, and work requirements will likely lead to a significant increase in the number of uninsured Americans in the coming years—exacerbating public-health challenges and creating a cycle of delayed care, rising medical costs, worsening health outcomes, and heavier financial burdens on families.
Experts conclude that these changes could make stable, sustainable healthcare coverage even harder to secure for the most vulnerable groups in America, at a time when medical costs are rising faster than families can keep up.