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The Average Medical Insurance Costs

With the cost of many common cancer treatment courses running north of six figures, some form of catastrophic medical coverage is a near necessity for most middle-class families. Absent protection against a medical condition becoming a financial catastrophe, even relatively minor and routine ailments can rack up enough costs to push a family into bankruptcy and even cost them their home. There are many kinds of medical insurance plans, and costs can vary widely depending on plan structure, the insured's medical history and the level of benefits chosen.

  1. Workplace Plans

    • While workplace plans and cost-sharing structure vary widely, the average total premium per worker, per year, was $13,770 in 2010, according to the Kaiser Family Foundation. Of this amount, the employer contributes an average of $9,773, while the worker contributes an average of $3,997.

    Individual Insurance Plans

    • According to a 2010 study by the Kaiser Family Foundation, the average cost for medical insurance for those between 18 and 34 years old who bought their own insurance was $2,630 per year. For those between ages 35 and 49 years old, the average individual plan costs $2,843; the average family coverage plan was $6,864. For those between 50 and 64 years old, the average annual cost for an individual plan was $4,822 per year, while for family plans the average cost was $7,102.

    Trends

    • The overall trend in medical insurance prices has been up. According to the Kaiser Family Foundation, while average wages rose by 42 percent between 1999 and 2010, health insurance premiums grew by 138 percent over the same period. At the same time, employers have been shifting more and more of the burden of health care costs to employees, decreasing the percentage they pay for individual and family workplace group policies.

    Ways to Manage Your Own Costs

    • There are a number of measures individuals can take to keep medical insurance premiums affordable. You can shop around for another plan; however, if you have developed a new medical condition it may be difficult for you to find alternative coverage. You can raise your deductible. This is a quick and convenient way to lower your premium costs because you can often do it with the same insurance company without having to medically qualify. You can also seek employment with a company or government agency that pays some or all of your premiums for you.

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