WASHINGTON: President Donald Trump announced late on Friday that the US will send a one-time $90 Medicare payment to more than 20 million eligible recipients to help cover insurance premiums.
Most recipients should receive the money through direct deposit in early October, the White House said. Those without direct deposit will receive a cheque at the mailing address registered with Medicare.
However, the payment does not cover every Medicare enrollee. The Centres for Medicare & Medicaid Services (CMS) identifies eligible recipients as US residents enrolled in Original Medicare Part B.
Its guidance excludes people receiving premium assistance through Medicaid and those paying an income-related premium adjustment. Beneficiaries can call 1-800-633-4227 to check their eligibility.
Read: Trump threatens to end insurance payments if no healthcare bill
Trump said the money will come from the Medicare Improvement Fund. According to his announcement, Congress provided the fund with $2 billion to improve Medicare’s fee-for-service program.
Meanwhile, the administration is separately sending $500 payments to nearly one million Americans who bought insurance through the Affordable Care Act, commonly known as Obamacare. The White House describes those payments as refunds for excessive fees.
Last month, Trump also proposed sending $5,000 cheques to adult citizens if Republicans retain control of both congressional chambers in November’s midterm elections.
But that proposal drew scepticism from analysts, economists and some Republican lawmakers. Trump announced a one-time payment for more than 20 million eligible Medicare recipients, with distribution planned for early October.
