More Workers in Private Sector Dropping Health Insurance Coverage

JSOnline via AP ^ | May 5, 2006 | Kevin Freking

[Diana in Wisconsin]

WASHINGTON (AP) -- More workers are passing when it comes to their companies' health insurance benefits because they can't afford the cost, a study says.

The percentage of eligible employees who enrolled in their companies' health insurance plans declined from 85.3 percent in 1998 to 80.3 percent in 2003. During that same time, insurance premiums for individuals jumped more than $1,000 nationally - from about $2,400 to about $3,400 a year.

Employers bore the brunt of that increase. They continue to pay about 83 percent of the costs of their workers' health insurance. But workers are finding it harder to come up with their share, says the report, which was published Thursday and funded by the Robert Wood Johnson Foundation.

Researchers at the University of Minnesota analyzed the numbers for the report and broke them down state-by-state. They looked at surveys that the federal government conducts each year with employers. They found the largest declines in coverage of private-sector workers occurred in New Jersey, 11.7 percent; Nebraska 10.5 percent; and Wisconsin, 9.4 percent.

Then, the Urban Institute, a liberal think tank, looked at another survey from the federal Centers for Disease Control and Prevention, which asked why people were uninsured. More than half of respondents blamed costs.

"The importance of high costs as a reason for being uninsured has risen rapidly," the report states.

The report said young adults, those ages 19-34, are more likely to be uninsured than older adults. Also, Hispanics are more likely to be uninsured, which reflects that many non-citizens are employed in low-wage jobs that don't offer health benefits, plus they're ineligible for public coverage in most states, the report says.

[Diana in Wisconsin]

Employer-Sponsored Health Care is a benefit, not a right.

[FormerLib]

Tort reform is the only way to cap the rising costs.

[kx9088]

Exactly.

Anyone that only has to fork over 17% of the cost to cover their health coverage should be so lucky, I pay 40% of the cost.

[Semper Paratus]

We all pay 100% of the cost of health care in one form or another.

[conservative physics]

I remember the good old days when insurance salesmen went door to door and people would slam the door in their face.

Of course that was before the insurance industry lobbied government to pass laws forcing people to buy insurance, or forcing companies to provide insurance, or forcing taxpayers to pay for the government to give it away to lazy sloths.

I guess the encyclopedia salesmen will start lobbying government soon to force all households to purchase their product pretty soon... then who will I slam to door on?

[NonValueAdded]

Is that study adjusted to account for alternate coverage under the spouse's plan? At no or nominal payroll deduction, overlapping coverage can be OK but when the premiums outweigh the marginal benefit increase, why bother? I'm sure some drop coverage due to cost but there are other reasons why someone chooses to self-insure.

[Gabz]

But workers are finding it harder to come up with their share, says the report, which was published Thursday and funded by the Robert Wood Johnson Foundation.

This sentence sends shivers up my spine.............RWJFoundation supports socialized medicine.........

[P-40]

The report said young adults, those ages 19-34, are more likely to be uninsured than older adults.

You would expect that to be true. Why get anything but catostrotropic at a young age? Older employees tend to drop first because their coverage can get expensive so they go to Medicaid.

[mlc9852]

How much difference do you believe that would make?

[mlc9852]

I don't have health insurance and certainly don't consider myself a lazy sloth. My employer doesn't offer it and to get it on my own is just not affordable. I work very hard and resent your implying that those of us not fortunate enough to have health insurance are lazy.

[george76]

If your dental insurance is $1000 per year and teeth cleanings are $200 per year ( going twice per year ), it makes sense to cancel the dental insurance.

Then self insure. Take the $800 per year savings and put it into the bank earning interest. It would be there for a future need.

Just one of many options.

[sgtbono2002]

If these employees who find it hard to pay their share of insurance coverage ever get a long term illness they will find it many times harder to pay that cost.

Althoug health insurance is usurous I find it hard to believe anyone believes they can live without it.

[Marie]

...a liberal think tank,

I never thought I'd see the day where *someone* in the media said those words. Absolutely beautiful.

[FormerLib]

Although I no longer work for a healthcare-insurance firm, I know that legal-related costs escalate higher than any others, often more than all others combined.

It would make a huge difference.

Time lost to compliance efforts stemming from excessive gov't regulation would be the next target.

[AngryJawa]

You may want to consider a Health Savings Account (HSA).

[socialismisinsidious]

Mine too. I'm sure that these same people are able to come up with the costs for their cable, Internet, cell phone, etc....people don't want to cover their health care b/c they think that if the government will do it: why not?...it's "free"

We better reign in congress now b/c they are vote buying with entitlements via our tax dollars...the only way is tax reform. If congress is put on a budget then they won't be able to hand out these "rights"


If you think health care is expensive now, just wait until it is free. PJ O'Rourke

[hedgetrimmer]

Working Americans health care plans subsidize the care for the 20 million illegal aliens in this country. It would cost a whole lot less if the government did its duty to protect our borders and our sovereignty as a nation.

[hedgetrimmer]

The socialists in our government are engineering the crisis so that they can put socialized medicine forward as a solution. The solution is to close the borders, believe it or not, as the cost of health care is directly related to the millions of illegal aliens in this country who get subsidized by the American people.

[Gabz]

I understand what you are saying. Our share of my husband's plan are tough on us, but with a 7 year old, there is no way we are going to go without it.

What bothers me here is that RWJF supports legislation mandating that ALL private sector employers provide coverage for all emplyees.

I trust NOTHING that has RWJF fingerprints even near it, let alone all over it like this "study" does.

[hedgetrimmer]

If you think health care is expensive now, just wait until it is free. PJ O'Rourke

Just wait until the white house finishes merging the US with Mexico, then the rest of the hemisphere in the FTAA. We'll have a whole continent clamoring for medical care paid for by US citizens.