A government-run COVID-19 vaccine injury compensation program with nearly 10,000 pending claims faces the threat of a budget cut for the 2026 fiscal year.
The Trump administration’s proposed budget would eliminate funding for the Countermeasures Injury Compensation Program (CICP), TrialSite News reported last week. If approved, the program would be forced to operate on “carryover funds” — or unspent funds from previous years.
According to TrialSite News:
“With no civil court recourse under the PREP Act, downgrading CICP funding leaves injured individuals with limited legal avenues and uncertain financial relief. This undermines public trust in vaccine policy, risks fueling hesitancy, and may deter future claim filings altogether.
“The decision to drop new CICP funding was hidden in budget pages — no public announcements or detailed breakdown of carryover metrics. How much carryover exists? How long will it last? What if claim volume increases?”
CICP was established under the Public Readiness and Emergency Preparedness Act (PREP Act) of 2005.
Under a PREP Act declaration, issued during an official public health emergency such as the COVID-19 pandemic, manufacturers of vaccines and other countermeasures associated with a health emergency are exempt from liability for serious injuries or death caused by their products — except in cases of willful misconduct.
That means people who believe they were injured by one of these products can’t sue the manufacturer. Instead, they can apply to the CICP for compensation.
However, even if successful, claimants often receive limited compensation from CICP. By law, the program can reimburse only those medical expenses not compensated by insurance or other programs.
It can also reimburse for lost employment income (capped at $50,000 per year) and a one-time benefit of $370,000 for deaths.
The program does not reimburse legal fees or provide compensation for pain and suffering.
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