Families with individual coverage may spend 22 to 50 percent of household income on health care
WEDNESDAY, June 24 (HealthDay News) -- Out-of-pocket costs are rising for Americans with health care coverage, including premiums, deductibles and copayments, according to a new June 23 report from the U.S. Department of Health & Human Services.
According to the report, in 2008, the average premium for a family health plan bought through an employer was $12,680, with employment-sponsored premiums nearly doubling since 2000. During the past two years, the average family deductible for preferred provider organization plans purchased through an employer has risen 30 percent, from $1,034 to $1,344. For families buying insurance in the individual market, the average deductible was $2,753 in 2007.
The report notes that copayments have also been rising. In 2008, one out of three people with health insurance through an employer had a copayment of more than $25. For families buying coverage through the individual market, 84 percent had copayments more than $25. Also, in 2006, out-of-pocket costs for someone with employer-based coverage -- including premiums -- were $3,744. For families buying directly from an insurer, that figure was $7,280.
"A middle-income family with individual coverage spends on average 22 percent of household income on health care -- and some spend up to 50 percent. A similar middle-income family with employer-based coverage spends 8 percent of their income on health care costs," the authors write.