Medicare

WASHINGTON — President Trump says his administration will make one-time payments of $90 per person to help more than 20 million Medicare enrollees pay for their Part B premiums. It will cost about $2 billion.

Less than one-third of all Medicare recipients are eligible for the payments, which are expected to be sent out this week. Not eligible are roughly 35 million Medicare Advantage enrollees, millions of people with disabilities who get premium assistance and low-income Medicare recipients.

The election-year promise that the Republican president made over the weekend comes as the Nov. 3 midterms are fast approaching, with the cost of living and healthcare expenses among the top issues for voters.

Some questions and answers about the payouts:

Who will benefit?

Some 20.8 million people in the original Medicare Part B who are living in the United States, not receiving premium assistance from Medicaid or not paying an income-related monthly adjusted amount.

Medicare Advantage enrollees, who make up more than half of the eligible 64.2 million Medicare beneficiaries, will not receive a payment, according to KFF, a healthcare research nonprofit. Nor will 12 million low-income older adults and people with disabilities who get premium assistance.

The Part B program covers expenses such as doctor’s visits, ambulance services and lab tests. Total monthly costs generally start at about $200 and vary with income.

Allison Schuster, a White House spokeswoman, said in a statement that the administration “is enabling Americans to take control of their health by putting money directly back in the hands of Medicare patients.”

When will the payments go out and how will they be disbursed?

According to the Centers for Medicare & Medicaid Services website, eligible beneficiaries will receive one $90 rebate this month, with most getting a direct deposit on or around Friday. Others will receive a paper check from the Treasury Department later in October.

Juliette Cubanski, director of KFF’s program on Medicare policy, said the payment will be automatic.

“As far as a benefit goes, people don’t have to call or sign up — it’s just money they receive directly, but not everybody on Medicare will receive this money.”

A White House fact sheet says people can call (800) MEDICARE ([800] 633-4227) to check their eligibility for the premium rebate. To check on payment status, people should call the Social Security Administration at (800) 772-1213.

What is the source of the money?

Payments will come out of the Medicare Improvement Fund created by Congress in 2008 and intended to make improvements to the Medicare fee-for-service program.

The fund was created to improve program management and conduct oversight of contracts and contractors, according to the Congressional Budget Office, but its purpose has expanded after various legislative changes.

This is not the first time the fund has been used.

President Obama’s administration, along with Congress, redirected $20 billion to expand healthcare coverage through the Affordable Care Act.

But under Trump, it is the first time that the fund has been used to directly pay recipients.

What are critics of the plan saying?

Critics of Trump’s promise characterize the $90 payments as a preelection stunt designed to sway voters rather than address structural problems in healthcare costs and administration.

The top Democrat on the Senate Finance Committee, Oregon Sen. Ron Wyden, said in a statement that “this is another desperate attempt by a failed president to escape Americans’ revulsion with his failed agenda, amounting to one tank of Trump-inflated gas.”

Trump recently promised $500 rebate checks to an estimated 1 million Obamacare enrollees across 30 states whom the White House alleged were overcharged by the Biden administration for some fees.

Cubanski said the Medicare rebate payments were being doled out when Americans were feeling the bite of higher food, energy and gas prices. Surging healthcare costs are only compounding those pressure, she said.

“This might be helpful for people but it might not go very far.”

Hussein writes for the Associated Press.

President Trump is promising more payments to voters just ahead of the Nov. 3 midterm elections — this time, to more than 20 million seniors, who each would get $90 to help pay for Medicare premiums.

The announcement, made late Friday night by Trump on social media, comes after he said last month about 1 million people would get rebate checks of $500 for Affordable Care Act premiums. It also comes after his One Big Beautiful Bill Act last year slashed funding for Medicare, disqualifying thousands from eligibility and raising fees for the rest, and for the ACA, raising premiums for millions by eliminating tax credits.

Trump has also promised on the campaign trail to send every American adult $5,000 if Republicans retain control of the House and Senate in the midterm elections.

His latest promise — which, like the others, would require approval from Congress — would probably cost more than $1 trillion, adding to the ballooning deficit and worsening inflation.

Polls show Americans increasingly blame Trump for the high cost of gasoline and groceries, with just 17% approving of his handling of inflation. Rising healthcare costs are also a key component of the affordability struggles many face across the country.

The president has sought to shrug off concerns about affordability, claiming the economy is booming.

The White House said the $90 payments for seniors would come from the Medicare Improvement Fund, established by Congress in 2008 as flexible funding to improve program operations and payments to healthcare providers.

As proposed, Medicare Part B enrollees would receive a one-time payment in October, either through direct deposit or by check, the White House said. Total monthly costs for the program — which covers costs like doctor’s visits, ambulance services and lab tests — start around $200 and vary with income.

To be eligible, seniors must be living in the U.S. and not be already receiving premium assistance from Medicaid or paying adjusted monthly premiums based on income, according to the Centers for Medicare and Medicaid Services. Seniors enrolled in Medicare Advantage, a private plan alternative to traditional Medicare coverage, would not be eligible for the payment. More than half of eligible Medicare beneficiaries have Medicare Advantage, according to healthcare research nonprofit KFF.

Previous administrations have not used the Medicare Improvement Fund in this way, although Congress has periodically taken out money from the fund to pay for other priorities, said Larry Levitt, KFF’s executive vice president for health policy. For example, $20.74 billion was used for the creation of the Affordable Care Act in 2010.

“The Medicare Improvement Fund language is quite broad and gives substantial discretion to the administration,” Levitt said.

Goldin writes for the Associated Press.

Australian authorities have raised the alarm after OpenAI-powered models hacked into a government health data system in June, slipping past its digital defences and accessing files without authorisation.

This is the first publicly known case of artificial intelligence (AI) “agents” – AI-powered software systems that can carry out tasks autonomously – breaking into a government website, and the latest of several AI breaches of external systems.

The disclosure comes as top AI firms warn of the risk of humans losing control of AI, calling for its development to slow to a pace that allows it to be safely regulated. Global powers must cooperate to ensure this, they have said.

A research scientist at AI firm Anthropic, Evan Hubinger, went so far as to say he believes there is a greater than 10 percent chance AI could “kill all humans” within a decade.

Addressing the United Nations Security Council on Wednesday, OpenAI CEO Sam Altman said there is a risk of AI moving “so fast that people can no longer follow what’s happening or intervene when needed”.

“This would obviously be terrible,” he said. “And we should not train models that we cannot make an extremely strong case that we will be able to keep under human control.”

What do we know about the AI breach in Australia?

Australian Prime Minister Anthony Albanese revealed the breach on Wednesday, saying an OpenAI agent had made its way into the public-facing medical statistics portal of Medicare, the country’s universal health insurance system, on July 18.

When OpenAI accessed the government portal while conducting research on public medical spending, Albanese said the AI agent circumvented “blocks” that should have prevented it from breaking into the portal.

“The AI agent found a way around those blocks – didn’t accept no for an answer,” said Albanese.

Deputy Prime Minister Richard Marles said the information the OpenAI agent accessed was “not particularly sensitive” and was later publicly released.

Still, Albanese called the situation “obviously unacceptable” and said Australia had relayed its “extreme concern” to OpenAI, which had failed to notify the government of the breach until September 10.

Albanese also said several other government websites may have been affected by rogue OpenAI agents, though he did not confirm any other breaches.

He added that an inquiry into the breach would look at how Australian security agencies missed it initially and whether criminal charges could be brought against OpenAI.

How has OpenAI responded?

In a statement, OpenAI said it had “identified activity involving several Australian government websites and services as our models attempted to look up answers” and “took actions we did not intend”.

The company said the incident occurred as its models searched for statistics on medical spending, and that they are not believed to have obtained personal medical records.

OpenAI learned of the incident in August only as it conducted a review of “misaligned model activity”, it added.

Last week, OpenAI said it had put in place a new system to monitor, probe and disclose cases of “misalignment”. That includes instances of AI models that operate “without authorisation, coordinate with other models, or evade oversight”, it said.

Have there been previous AI breaches?

Yes. The Australia data breach is the latest of several instances in which AI agents belonging to OpenAI, Google or Anthropic have accessed external systems without authorisation.

In July, OpenAI reported that two of its most advanced AI models had broken out of a controlled test and hacked another AI company, Hugging Face. OpenAI later said it had detected its AI models communicating with each other and gaining internet access without authorisation months before that hack occurred.

In August, rival Meta AI said its AI model had hacked another company during cybersecurity testing. It said the model made changes to the internal systems of the hacked company, which it did not name, after accessing the public internet because of an error in the setup of its testing environment.

What does this mean for AI safety?

Maurice Chiodo, an Australian mathematician who works at Cambridge University’s Centre for the Study of Existential Risk, told the Reuters news agency the breach appeared to be “a significant escalation in seriousness from similar incidents we have ‌seen ‌in recent months”.

Experts say the Australia data breach highlights the growing dangers AI poses to cybersecurity as well as possible gaps in monitoring and disclosure capabilities.

“The important matter here is not what OpenAI says its agent can do, it is what the agent actually does when it hits a barrier,” Niusha Shafiabady, a professor of computational intelligence and head of the IT discipline at the Australian Catholic University, said in comments published by science news portal Scimex.

“The deeper technical risk is that autonomous AI does not always know when it is wrong, and humans may not be able to see why it made a decision,” added Shafiabady. “Without strong verification and hard boundaries, probabilistic errors can quietly become operational failures.”

Raffaele Fabio Ciriello, a senior lecturer in business information systems at the University of Sydney Business School, said OpenAI’s delay in reporting the breach was “concerning”.

“The incident occurred in June and only came to light months later,” said Ciriello. “Even if OpenAI did not detect the activity immediately, that still points to weaknesses in detection, escalation, and external notification.”

Australia’s Prime Minister Anthony Albanese has revealed a security breach of a government website containing Australians’ health data by an “AI agent”, less than a day after signing a joint appeal for “urgent global guardrails” around artificial intelligence.

Albanese co-signed the “A Call for Control of Frontier AI Models” statement on Tuesday together with 21 signatories including Canada, Spain and Germany, on the sidelines of the United Nations General Assembly (UNGA) meeting in New York.

Addressing reporters on Wednesday, Albanese said the agent, developed by OpenAI, accessed public and non-public data on the government’s Medicare portal in June.

Australia’s Labor government is tightening tech regulations with new online safety laws, age bans and proposed digital duty of care frameworks.

Albanese said he had spoken to OpenAI CEO Sam Altman to express Canberra’s “extreme concern” about the hack and disappointment that the company took three months to admit the breach.

OpenAI responded in the hours after the news conference, stating that while it was still investigating, there was no evidence patient records were accessed.

The company’s review had identified activity involving several Australian government websites and services as its “models attempted to look up answers”, it said.

World leaders respond to AI warnings

The leaders of artificial intelligence companies warned of the risks of unregulated AI development before a 15-member UN Security Council meeting on Wednesday.

One of them, Yoshua Bengio, a Canadian considered one of the ‘Godfathers of AI’ and co-chair of the Independent International Scientific Panel, spoke of the “unprecedented threat” and the “real and imminent” dangers of the technology.

China’s UN ambassador Fu Cong told the meeting that Beijing believed continuous improvement of regulatory frameworks, emergency response and cross-border cooperation on AI was needed.

British Prime Minister Andy Burnham said the United Kingdom was ready to lead an international effort to establish AI standards.

“We’ve all heard the warnings which we must heed… so we have to rise to this moment,” he said, but added he also wanted the UK to pursue the benefits of AI.

French President Emmanuel Macron warned against allowing the United States and China to dominate decision-making around AI during his speech to the assembly on Wednesday.

US President Donald Trump is at odds with many of his counterparts, comparing the dangers of AI to climate change, which he has called a hoax.

He also proposed rebranding the term AI to SI, or “super intelligence”, during his address to the UNGA on Tuesday, and earlier said he planned to appoint an AI adviser.

In a Truth Social post on Monday, Trump said the US was leading the AI race over China, that he was “not going to stifle Growth”, but added ⁠that the US would be careful.

White House science and technology adviser Michael Kratsios echoed Trump in remarks to the UN Security Council on Wednesday.

“You cannot govern technology you do not understand. This body and others like it should focus on sharing best practices to build domestic capacity, not establishing a global regulatory scheme,” he said.