Health Care Costs Top Financial Concerns for Americans

Healthcare expenses have emerged as the leading financial worry for many Americans, particularly after Congress did not extend certain protections last year. This has led to significant increases in premiums for millions, according to recent investigations.

According to a poll conducted by KFF, about two-thirds of Americans report feeling very or somewhat concerned about covering their medical bills. This anxiety surpasses their worries about grocery costs, utilities, or housing. Notably, one-third of respondents expressed that they are very worried about paying medical expenses.

Medical costs encompass not just health insurance premiums but also copayments and prescription drug prices.

The rising financial stress attributed to healthcare is occurring because these costs are increasing more rapidly compared to other essential living expenses. A survey indicates that more than half of U.S. adults have experienced increased healthcare costs in the past year.

“KFF has recognized for some time that healthcare expenses are a major concern regarding household finances,” Shannon Schumacher, a senior research analyst at KFF, remarked. “We’re observing it becoming a top priority now. With global costs rising, people are increasingly focused on how they’ll manage these expenses.”

Affordability Dominates Voter Concerns

Voter concerns about affordability are underscored by a recent CBS News poll, where 76% of Americans indicated that their incomes have not kept pace with inflation. Issues like credit card interest rates and housing costs continue to contribute to this unease.

KFF’s survey, conducted with over 1,400 U.S. adults from January 13 to January 20, reveals numerous economic anxieties.

• Food costs: 24% of adults express they are very concerned about affording groceries.
• Housing costs: 23% worry about managing rent or mortgage payments.
• Utility bills: 22% of adults report significant concern regarding their utility expenses.
• Transportation: 17% are apprehensive about gas and travel costs.

Additionally, a large portion of respondents were unhappy with Congress’s choice to let enhanced subsidies from the ACA expire, with two-thirds believing it was a misstep. In contrast, about a third support the termination of these subsidies.

Further research from KFF indicates that some Americans may consider abandoning health insurance altogether due to unaffordability without subsidies. Others are opting for cheaper plans that offer less coverage or seeking jobs that provide healthcare benefits.