Fewer insured as health-care costs rise
Published: Tue, Apr. 29, 2008 12:30AM
Modified Tue, Apr. 29, 2008 02:42AM
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closeWASHINGTON -- Premiums for Americans who get health insurance from their private-sector jobs are increasing 10 times faster than their incomes, according to a report based on government data.
Fewer private-sector businesses are offering health coverage, and fewer Americans have private health insurance coverage because of cost, according to the analysis released today by the Robert Wood Johnson Foundation and researched by the University of Minnesota.
"There is a clear connection between the rising cost of health care and the increasing number of uninsured Americans. As costs continue to go up, fewer people can pay their portion of the premium, and fewer employers are able to offer insurance benefits," said Dr. Risa Lavizzo-Mourey, CEO of the foundation.
STATE SNAPSHOT
In North Carolina:
* About 65 percent of citizens had private health insurance in 2005, a 5.9 percent decrease from 2001.
* The average family premium was $9,657, up 24.9 percent from 2001.
* The median income was $38,411, an increase of 2.49 percent from 2001.
* Employees enrolled in family coverage at private-sector companies that offered health insurance paid 27.5 percent of the total premiums, a 4.2 percent decrease from 2001.
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Nationally, the average cost of family coverage increased by almost $2,500, from $8,281 in 2001 to $10,728 in 2005. The cost increased 10 times faster than the rise in incomes nationwide, the researchers found.
The report says this contributed to a 2.4 million-person decline in Americans with private health insurance from 2001 to 2005.
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