CAN YOU AFFORD NOT TO HAVE
INSURANCE?
\ue000Financial burdens incurred by uninsured young
adults seeking emergency medical services
often follow that individual for an extensive
period of time.
National Coalition on Health Care
October 2009
CAN AMERICA AFFORD FOR YOU NOT TO HAVE INSURANCE?
\ue000 In 2007, 27% of young adults who characterized their health as excellent were uninsured, compared to the
40% uninsured in this group who characterized their health as fair or poor.16
\ue000Many uninsured young adults who are not healthy, or who fall ill, use expensive emergency room care as a
substitute to seeing a primary physician. This cost of such uncompensated care \u2013 estimated to be $40.7 billion
in 200417 \u2013 is passed on to the insured, further increasing health care costs on individuals and employers,
which can lead to more uninsured people.18
\ue000Because of risk-pooling \u2013 a mechanism for stabilizing the cost of health care by balancing low and high risk
populations \u2013 healthy young adults who choose not to purchase health coverage create a disproportionate
number of high risk individuals in health plans, thereby increasing the cost of insurance for all.19
WHAT ARE THE MAJOR AREAS THAT DEMAND REFORM?
\ue000 Cost: America is on an unsustainable path with regard to health care costs. National health care spending will
reach $2.5 trillion by the end of 2009 and is projected to reach $4.4 trillion by 2018.20 Businesses, large and
small, are unable to keep up with rising insurance premiums, which leads them to cut benefits, raise
deductibles and co-pays, or simply terminate employees. Without immediate cost containment and
implementing measures to bend the cost curve, more Americans will lose their health coverage.
\ue000Quality: Out of 19 industrialized countries surveyed, the U.S. ranked dead last in the number of preventable
deaths resulting from poor quality health care.21 Approximately 101,000 deaths could have been prevented if
the United States had just thesame mortality rate as other leading countries.22
\ue000Coverage: Studies estimate that 22,000 people between the ages 25-64 die per year due to lack of adequate
health coverage.23 This is likely due to the fact that the uninsured are 9 to 10 times more likely to forgo
medical treatment or seek preventive services.24
\ue000One out of ten uninsured young adults paid
more than $700 in out of pocket expenses for
medical care in 2005.15
\ue000A 2008 report revealed that 25% of uninsured
young adults reported that they were contacted
by a collection agency regarding past due
medical expenses.
\ue000Even common illnesses and conditions can
create significant financial burdens. (Table 1)
\ue000An inability to pay medical expenses can have
a detrimental effect on one\u2019s family, credit
rating, student loan debt, future planning.
Flu and Strep Diagnosis in Doctor\u2019s Office
$90-$190
Emergency Room Visit for Flu or Strep
$329
Urgent Care for Broken Ankle
$429
Diabetes, Annual Treatment
$13,243
Depression, Diagnosis and Treatment
$13,929
Breast Cancer for Women, 20-30
$19,508*
Motorcycle Accident, with helmet
$31,158
Motorcycle Accident, without helmet
$37,317
Leukemia or Brain Cancer, Diagnosis and Treatment
$723,814
* Per Incident, Cost for Chemotherapy and Radiation not included.
Sources: Blue Cross, 2007, Minnesota Council of Health Plans (MCHP), 2002;
MCHP, 2002; mean cost of employees who went on disability due to
depression, based on a study by the American Psychiatric Association, 2001;
Blue Cross, 2005; University of Michigan study, 2002; Centers for Disease
Control, 2003; Antioch University, Seattle, Washington, 2005
Table 1: Average Cost for Common Health Conditions
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