9 Million Americans Lose Health Insurance During Recession A study conducted by the Commonwealth Fund, a
New York-based foundation that supports research for improving health care, concluded that over 52 million Americans were without healthcare insurance by the end of 2010. The economic recession played its part in fueling the rising numbers as 9 million of the 52 lost their
health insurance due to lost jobs or reduced wages.
The unemployment rate in the United States went up almost 5% from 2008 through 2010.
According to the study, 73 million Americans struggled to pay for their medical insurance; 40% of those interviewed said they spent their savings in order to keep their health insurance, while 24% admitted to accruing credit card debt, and 10% took out another home mortgage.
Researchers also discovered that 49 million Americans spent over 10% of their income on insurance premiums, and 75 million Americans chose to forgo treatment due to financial struggles.
From 2003 through 2009, employer insurance expenses increased by 43%. The rise in costs forced many employers to reduce the coverage they provide their employees, therefore causing the deductible in these plans to increase by a whopping 77%.
This dramatic increase is why millions of Americans can no longer afford their health insurance. Unfortunately, those families that barely scrape by paycheck to paycheck are most affected.
These results strengthen the Obama Administration’s case for a revamped health insurance system.
Sara Collins, an economist for the Commonwealth Fund believes the numbers clearly show a desperate need for the reforms.
When the
Patient Protection and Affordable Care Act fully takes effect in 2014 it will increase tax benefits for employers to provide health insurance, and it will reduce the guidelines for being eligible for Medicaid.
Approximately 32 million uninsured Americans are expected to become insured under Medicaid when the bill takes effect.