Fact # 1 Don’t Count on Medical Benefits From Your Employer. Many people count on their employer for health insurance. Sadly, the number of employers offering health insurance to their employees is dropping. In 2007, only 60% of employers offered health insurance. It is even lower for small businesses. Employers are not dropping coverage because they don’t care about their workers. It is because they cannot afford the cost. Health insurance costs are rising faster than wages. [Kaiser Family Foundation, 9/07] The other bad news is that even if your employer offers medical benefits, you may not be able to afford it.
Fact # 2 Individual Insurance Can Be a Raw Deal. Some people choose to buy insurance on their own. A report from Families USA found, “Individuals seeking health coverage on their own have virtually no bargaining power to obtain good health benefits at a reasonable rate.” It is up to each state to protect consumers and some are doing better than others. “In one state, consumers may be able to buy insurance that will cover their medical needs, but only at a very high price. Just across the state line, neighbors with similar medical conditions may find that although policies are cheaper, no insurer will sell to them or insurers will only sell them polices that exclude coverage of the very services that they most need. Consumers are put at the mercy of insurers and the vagaries of states’ insurance laws.” For the full report, go to www.familiesusa.org.
Fact #3 Even If You Have Coverage, Medical Debt Can Land You in Bankruptcy Court. Medical debt is partly to blame for half of all bankruptcies. Sadly, nearly 70% of the people in these bankruptcies have insurance coverage. [Health Affairs, 2/05] This should come as no surprise because the number of “underinsured” Americans is growing fast, reaching 25 million in 2007. [Commonwealth Fund, 06/08] “Too many working people are piling up debt on high interest credit cards, and risking their financial security, simply because they have the misfortune of getting sick,” said Mark Rukavina, Director of the Access Project and co-author of the report, “Borrowing to Stay Healthy.” “We can’t let this happen in America.”
Fact # 4 People Really Are Dying Because They Can’t Get the Medical Care They Need. Common sense tells us that if you can’t afford to go to the doctor, your health will get worse and you may even die. Well, it’s true. People without insurance are much less likely to get the medical care they need. [JAMA, 03/07] For children, this means that they miss check-ups and don’t get dental care, vision screenings, and medications. [Campaign for Children’s Health Care, 09/06] The Institute of Medicine estimates that about 18,000 deaths every year are caused by lack of insurance coverage. [IOM, 01/04]
Fact # 5 America Is Choking On Healthcare Spending (and we’re not getting our money’s worth). Healthcare costs are rising at an alarming rate, and there’s no end in sight. Americans spend more of their money on healthcare than on housing or food. [Bernanke Testimony, 06/08] Our country spent $2.2 TRILLION on healthcare in 2007 (Kaiser Family Foundation, 09/07], even though 47 million Americans did not have insurance. Nobody wants to hear that other countries cover all their people for half the money AND get better care, but it’s true. [Commonwealth Fund, 09/06] For more information, do a Google® search for “rising health care costs” and browse through the 269,000 hits.