Home Finance Health insurance prices in the US hits record high at $20,000

Health insurance prices in the US hits record high at $20,000

In the United States, the cost for family health insurance coverage now tops the $20,000 mark known with the annual employer survey. This record high has actually pushed the increasing number of workers in America to get plans that tend to cover less and cost more. This has been forcing them out from the market for insurance ultimately.

Drew Altman, the Chief Executive Officer from the Kaiser Family Foundation, mentioned that these costs are as high as purchasing the basic version of an economy car. It is similar to buying these cars every year. This non-profit research group for health insurance conducts this yearly survey for coverage that most people get via work. This is the prime source for health insurance in the United States for people that are below the age of 65.

While the employers pay a chunk of this coverage cost, according to this survey, the workers’ average yearly contribution can go as high as $6000 for an average family plan. This is simply the share for their upfront premiums. This doesn’t actually include the add-on costs that come from deductibles, co-payments, as well as other variants of cost-sharing. This seemingly high increase of the expenses has now led to the installation of deep frustration within the U.S. health care. This has led to questions stating whether this system for health coverage tide to the job can actually survive. Deductible and premiums have increased drastically in the past two decades.

The total percentage of the workers covered by this type of health insurance has dropped down as the employers failed to provide coverage & some of the workers did not choose to enroll. When compared, fewer Americans that are under the age of 65 have enrolled for the employer coverage for the year 2019 as compared to the year 1999. Altman also mentioned that there is a slow yet significant drop in the employer coverage for health insurance.

The health care costs for the employees have been rising quickly as opposed to their wages & overall prices seen in the economy. This increase in the cost of health insurance has hit the poor section of the working population. In firms that house 35 percent of employees with earnings lower than $25,000 per year, the workers might have to contribute a whopping $7000 for the health plans for the family. This is something termed as an offer that is unaffordable.

Laura Price
Laura Price
Laura Price has lived in Nashville her whole life. Laura has worked as a journalist for nearly a decade has contributed to several large publications including the Yahoo News and the Oakland Tribune. As a founder and journalist for TheMediaTV, Laura covers national and international developments.

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