Nearly 100 Million Americans Struggle to Afford Health Care Costs, According to Gallup Poll
The latest Gallup and West Health poll found that 38% of American adults—an estimated 98 million—are forced to choose between health care and other basic needs. Rising health care prices are driving people to delay or skip medical care, drive less, skip meals and borrow money.
The latest Gallup survey was conducted in June, the same month the U.S. consumer price index reached 9.1%, a record-high number for inflation. Rising health care costs are not a new challenge; however, inflation is putting additional pressure on Americans’ spending and savings.
“Inflation is hollowing out consumer spending habits across an array of areas. What is found just under the surface is that after gas and groceries, the role of inflation in reducing the pursuit of needed care is large and significant.”
- Dan Witters, senior researcher at Gallup
Specifically, the survey asked respondents what they have cut back on in the last six months due to the higher prices of goods and services. Seventy percent of people reported they have changed their behaviors and reported doing one or more of the following:
Driving less (59%)
Cutting back on utilities (30%)
Delaying or avoiding medical care or purchasing prescription drugs (21%)
Skipping a meal (19%)
Borrowing money (13%)
What’s Next?
Some actions have been made to try to stem the tide of rising costs, but the reality is not much will change soon. Americans will likely continue to make tradeoffs as inflation impacts consumer spending habits. On Aug. 16, President Joe Biden signed the $740 billion Inflation Reduction Act into law. Among many actions, the legislation will give Medicare the power for the first time to negotiate the prices of certain prescription drugs and set an annual cap of $2,000 on out-of-pocket costs for Medicare patients enrolled in drug plans.
Employers continue to respond to inflation in ways to help their employees during this time, such as altering benefits offerings. We will keep you apprised of any notable updates. Contact us for more health care resources.
The content of this News Brief is of general interest and is not intended to apply to specific circumstances. It should not be regarded as legal advice and not be relied upon as such. In relation to any particular problem which they may have, readers are advised to seek specific advice. © 2022 Zywave, Inc. All rights reserved.