A GAO investigation found widespread fraud, abuse, and improper spending in ACA marketplace plans. The report highlighted cases of subsidies being approved for fake or deceased individuals, indicating systemic lapses in oversight.
The House Judiciary Committee reported that in late 2024, 100% of fictitious applicants were approved for ACA marketplace coverage. By 2025, 90% of these fake identities still had subsidized coverage. One Social Security Number was used to create more than 125 policies, highlighting serious flaws in the system’s oversight.
House Judiciary Committee Chairman Jim Jordan criticized Obamacare, saying, “For years, we were told we could keep our plan, keep our doctor, and premiums would go down. None of it happened.” He added that the GAO report confirms fraud and rising premiums have limited healthcare choices for Americans, according to the House Judiciary Committee GOP.
The GAO report highlighted rapid growth in unauthorized ACA plan changes, leading to numerous consumer complaints. According to the House Judiciary Committee GOP, House Energy and Commerce Committee Chairman Brett Guthrie said, “Republicans have consistently prioritized protecting patients and taxpayers by ridding our federal health programs of the waste, fraud, and abuse that ultimately drive up costs for patients.” The report also found that $21 billion in subsidies paid in 2023—32% of all advanced premium tax credits—lacked evidence of tax reconciliation.
Republicans cited the GAO findings to support efforts to strengthen oversight and accountability in the federal healthcare system. House Ways and Means Committee Chairman Jason Smith highlighted initiatives to protect legitimate recipients and control rising costs, noting the ACA faces complex challenges that require thorough review.
