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Statistics About Private Health Insurance

The United States is the only major industrialized country in the world without a nationally sponsored health insurance plan for all its citizens. While Medicare coverage is available for seniors, Medicaid addresses the medical needs of the very poor and the Veterans Administration handles health care for many veterans, the vast majority of Americans must obtain health care coverage from private sources--or go without.

  1. Statistics on Employer-Provided Insurance

    • According to the United States Census Bureau, 59.7 percent of all Americans obtained health insurance coverage through their employers in 2006. This figure dropped slightly in 2007, to 59.3 percent. Employer-based coverage accounts for the lion's share of private insurance coverage in the United States.

    Statistics on Directly Purchased Insurance

    • According to the United States Census Bureau, 9.1 percent of Americans obtained health insurance through direct purchase. This figure also dropped in 2007, to 8.9 percent. This figure includes short-term plans as well as health insurance plans designed for long-term coverage for self-employed individuals and others who are not covered by employer-based insurance or government plans like Medicare.

    Health Insurance Premiums

    • HealthPac Online cited a study issued by the Kaiser Family Foundation that stated that in 2006, the average annual premium per family for employer-sponsored health insurance was $11,480, of which $2,973 was paid by the employee. HealthPac Online also cited the National Center for Health Statistics, stating that in 2005, out-of-pocket health care expenses accounted for 15 percent of personal health care expenditures.

    Health Insurance Deductibles

    • One means of controlling health care costs is to contract for a plan with a high deductible (the amount that the insured must pay before the insurance policy begins to make payments). According to a report issued by the National Center for Health Statistics (Centers for Disease Control and Prevention) in 2007, individuals who purchased their own health insurance were more likely to choose a high deductible plan than those covered by an employer or union. In fact, according to this study, 40 percent of individuals younger than 65 who purchased health insurance directly rather than being covered by an employer-provided insurance plan were enrolled in a high deductible health plan (HDHP).

      According to the same study, 14.8 percent of individuals younger than 65 with private health insurance (either provided by an employer or purchased directly) had a flexible spending account (FSA) to cover medical expenses that were not included in their insurance policies. Also according to the study, 4.5 percent of this same group was enrolled in a consumer-directed health plan (CDHP). Additionally, 14.8 percent of individuals younger than 65 with private health insurance (employer-provided or purchased directly) were in a family with a flexible spending account for medical expenses (FSA).

    Uninsured and Underinsured

    • According to the United State Census Bureau, 15.3 percent of all Americans, or approximately 45.7 million individuals, were without health care coverage in 2006. According to the HealthPac Online website, citing a study conducted by the National Center for Health Statistics, more than half of those without insurance in 2005 listed cost as the primary reason, with 24 percent stating that losing or changing jobs had resulted in a loss of health care coverage.

      The HealthPac Online website also stated that the National Center for Health Statistics had indicated that in 2005, more than 40 million adults claimed that they had gone without needed health care (such as basic medical care, prescription medication, dental or mental health care, or vision correction) because they could not afford it.

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