CMS Cancels ACA Enrolments Covering 760,000 People

The Trump administration has canceled Affordable Care Act health-insurance enrollments covering more than 760,000 people as part of a federal crackdown on what officials describe as unauthorized and improper enrollments.

Affordable Care Act information is displayed on a computer screen. U.S. officials say CMS canceled hundreds of thousands of unauthorized Marketplace enrollments.

The Centers for Medicare & Medicaid Services said it canceled approximately 315,000 enrollments on Aug. 31 after reviews with insurers determined that the enrollments were unauthorized.

CMS estimates the cancellations will result in the return of roughly $2.2 billion in advance premium tax-credit payments.

Vice President JD Vance said the canceled enrollments included people who did not meet eligibility requirements and others whom he said may have been enrolled without their knowledge.

The administration has said it is also reviewing additional enrollees to verify citizenship or immigration status and income eligibility.

CMS said it has also taken action against insurance agents and brokers.

The agency said it has issued 569 notices of intent to terminate Exchange agreements with agents and brokers who submitted 2026 applications without required identifying information, including Social Security numbers.

Since January, CMS said it has sent termination notices to more than 200 non-compliant agents and brokers.

The Affordable Care Act, enacted under President Barack Obama in 2010, provides subsidized health coverage through federal and state marketplaces.

The law remains in effect despite repeated Republican efforts to repeal or substantially change it.

The cancellations come as ACA insurers contend with significant changes in enrollment.

Centene, one of the largest Marketplace insurers, reported that its Marketplace membership fell to 3.49 million at the end of the second quarter from 5.86 million a year earlier.

The company and industry analysts have linked much of the decline to the expiration of enhanced premium tax credits at the end of 2025.

The administration says the latest cancellations are separate from ordinary enrollment declines and are aimed specifically at unauthorized or improper enrollments.