Out-of-Pocket Health Care Costs Outpacing Costs Covered by Insurance

From 2004 to 2014, payments towards deductibles rose 256% while payments for copays fell by 26%

• April 14, 2016 3:23 pm


Average payments by enrollees for deductibles and coinsurance have grown faster than the average payments for copayments from 2004 to 2014, according to a Kaiser Family Foundation study.

"From 2004 to 2014, the average payments by enrollees towards deductibles rose 256% from $99 to $353, and the average payments towards coinsurance rose 107%, from $117 to $242, while average payments for copays fell by 26%, from $206 to $152," states the report.

"Patient cost-sharing rose substantially faster than payments for care by health plans as insurance coverage became a little less generous," state the study. "The average deductible for people with employer-provided health coverage rose from $303 to $1,077 between 2006 and 2015."

According to the study, average payments for deductibles have increased quite rapidly over time. "Deductibles are the most visible element of an insurance plan to patients, which may help explain why consumers are showing concern," the study states. "Although health insurance coverage continues to pay a large share of the cost of covered benefits, patients in large employer plans are paying a greater share of their medical expenses out-of-pocket."

This report is the latest sign that Obamacare is not affordable, according to the nonprofit group Freedom Partners.

"This analysis comes on the heels of another recent Kaiser study showing that the rate at which health care premiums are increasing has quickened under Obamacare," states the group. "Higher out of pocket costs paired with these skyrocketing premiums means that Americans are paying more for insurance up front and getting less coverage."

Published under: Obamacare