Uninsured Numbers
Keep Climbing
BETHESDA, MD, 22 September 2006
— The number of Americans without health insurance climbed to a record high in
2005, with 46.6 million people, or 15.9% of the population, saying they lacked
coverage for medical care, according to the Census Bureau's annual update of
income, poverty, and health insurance coverage.
This means that 1.3 million
Americans were added to the rolls of the uninsured last year, according to the
most recent Census Bureau data, which were released August 29. Nearly 1 million
of those affected were working adults 18–64 years of age, and the remainders
were children.
The figures on insurance
coverage continue a trend that began in 2000—a trend that many health policy
experts would like to halt.
"Our health system does not work
well for far too many families," Commonwealth Fund President Karen Davis said in
a statement. "These findings point to the need for a national solution to ensure
that all Americans have affordable and comprehensive health insurance coverage
and access to needed health care."
Our country desperately needs
bold thinking and brave leadership to fix this crisis," echoed a statement from
Risa Lavizzo-Mourey, president of the Robert Wood Johnson Foundation. "The
alternative is to continue to watch the inevitable, as the health care system of
the United States...slips further into a fractured state of haves and
have-nots."
Kathleen Stoll, health policy
director for the advocacy group Families USA, likewise decried the recent health
coverage news. She stated that the numbers would have been worse without the
availability of publicly financed insurance programs like Medicaid and called
for steps to preserve those programs.
The proportion of insured
Americans who received their benefits through Medicaid, Medicare, or other
government-funded sources was unchanged from 2004 to 2005 at 27.3%, according to
Census Bureau data.
Of those with insurance coverage
in 2005, 59.5% received the benefit from an employer-sponsored health plan—a
drop from the previous year, when 59.8% of insured Americans had health benefits
through an employer. A declining proportion of Americans received medical
coverage from other private sources; in all, private insurance coverage rates
fell from 68.2% in 2004 to 67.7% last year.
David Johnson, chief of housing
and household economic statistics for the Census Bureau, acknowledged during an
August 29 media briefing that the entire increase in the uninsured rate was
caused by the decline in private insurance coverage.
Putting a face on the numbers.
An issue paper published in August by the Kaiser Family Foundation's Commission
on Medicaid and the Uninsured found that three major national estimates of the
uninsured population paint a reasonably consistent picture of the number and
characteristics of uninsured Americans.
For example, the commission
reported that estimates of the uninsured population for 2003 varied from 41.1
million, using data from the National Center for Health Statistics (NCHS), to 46
million, according to the Agency for Healthcare Research and Quality's Medical
Expenditure Panel Survey, or MEPS. The Census Bureau estimate for that year fell
in the middle, with an estimated 44.7 million people lacking insurance.
Differences in the figures are
partly attributed to whether the survey defines people as uninsured if they lack
insurance when interviewed, as NCHS does, or if they were uninsured for the
entire year, as the Census Bureau does. The MEPS survey polls the same
respondents at different intervals to determine insurance status and monthly
coverage estimates over an extended period.
According to the Kaiser
analysis, all three surveys agreed that adults account for about 80% of
uninsured Americans. About 50–60% of uninsured working-age adults have incomes
under 200% of the federal poverty level, the surveys find.
Also common to the surveys is
the finding that the vast majority of uninsured adults—67–78%—work at least
part-time but are not offered insurance by their employers or cannot afford
employer-based coverage.
About a quarter to a third of
uninsured adults did not finish high school, and about a third received their
diploma but did not go to college. Jobs available to those with less than a
college education are less likely than jobs open to more educated people to
offer health insurance, the report noted.
Income and the great divide. The
Census Bureau report on health insurance coverage also included current
statistics on income and poverty in the United States. Overall, the report
stated, median household income was $46,300 in 2005, a 1.1% increase from 2004.
Despite gains in household
income, median inflation-adjusted wages fell 1.8% for working men and 1.3% for
women between 2004 and 2005. This marks the second consecutive year of wage
declines for men and the third for women, Johnson said.
He attributed the overall gains
in household income in the face of declining wages to the inclusion of
investment income in household earnings and the fact that a household can
contain multiple wage earners.
As in 2004, half of the nation's
overall household wealth gain went to those in the top 20% of the income
spectrum, but just 3.4% went to the bottom 20%. Johnson called the top 20% of
the income bracket the "great divide" in the nation's income distribution.