Democrats say this government shutdown is over healthcare, and yesterday President Trump suggested he was open to a deal. But standing in the way is each party’s overheated rhetoric on the issue, most notably Republicans claim that Democrats are trying to provide healthcare benefits to illegal immigrants.

Is that true?

The answer is no – but some key caveats and context are in order.

Federal law largely excludes undocumented individuals from public health insurance, such as federally funded programs like Medicaid or the Children’s Health Insurance Program (CHIP).Undocumented immigrants are also not permitted to purchase health insurance through the Affordable Care Act (ACA) marketplaces or receive federal subsidies for private plans.

But here is where things get a little more complicated.

While undocumented immigrants are not eligible to receive federally run or subsidized healthcare, many legal immigrants are.

The Biden administration significantly expanded the number of immigrants allowed into the country under a classification known as Temporary Protected Status (TPS). The number of immigrants here under TPS expanded to 1.2 million during his term. Prior to leaving office, Biden extended the temporary legal status of nearly 1 million immigrants from El Salvador, Sudan, Ukraine and Venezuela.

Many Republicans believe the Biden administration expanded TPS eligibility too far to include otherwise undocumented immigrants without credible asylum claims.

The Kaiser Family Foundation offers a comprehensive explanation of the benefit process for lawfully present immigrants, such as those here through TPS writing “Lawfully present immigrants may qualify for Medicaid or CHIP but are subject to eligibility restrictions. In general, in addition to meeting other eligibility requirements, lawfully present immigrants must have a “qualified” immigration status to be eligible for Medicaid or CHIP (Table 1), and many, including most lawful permanent residents or “green card” holders, must wait five years after obtaining qualified status before they may enroll. They may enroll in Marketplace coverage and receive subsidies during this five-year waiting period. Some immigrants with qualified status, such as refugees and asylees, as well as citizens of Compact of Free Association (COFA) nations, do not have to wait five years before enrolling.”

KFF goes on to explain “Some immigrants, such as those with temporary protected status, are lawfully present but do not have a qualified status and are not eligible to enroll regardless of their length of time in the country. Individuals with Deferred Action for Childhood Arrivals (DACA) status are not eligible for Medicaid or CHIP, and implementation of a Marketplace coverage expansion for them remains subject to ongoing litigation. States must verify citizenship and immigration status with the Social Security Administration and Department of Homeland Security to determine eligibility for coverage.”

Prior to passage of the One Big Beautiful Bill Act (OBBBA), those eligible could also access Medicaid after a five-year waiting period, just as legal permanent residents can, and they could also qualify for ACA subsidies after one year.

Those who eventually qualify and apply for Medicaid use a lower share of resources. Research from KFF found that eligible noncitizen immigrants represent a small share of people covered by Medicaid, comprising just 6% of individuals under age 65 with Medicaid.

The OBBBA amended federal law to remove eligibility for various immigrant groups, including those with TPS, refugees, and asylees but the new Medicaid restrictions for populations like TPS holders will not take effect until October 1, 2026. Democrats want to see these restrictions undone as part of a deal to reopen the government.

The bottom line is that neither side is being completely honest in their claims over healthcare. Technically speaking, Democrats are correct that federal law prohibits undocumented immigrants from getting federally provided or subsidized healthcare. However, the last few years has seen a significant increase in the number of legal immigrants accessing federal benefits and the Biden administration significantly expanded programs that enabled more immigrants to come to and be in the United States legally, even if only on a temporary basis.