Health insurance premiums for workers are rising around three times
faster than their wages, and health costs eat up a quarter of earnings
for more than 14 million Americans, according to a survey on Tuesday.
While benefits are being cut, health insurance premiums are rising, the
report from the nonprofit Families USA found. "Working families were
squeezed by runaway health care costs over the past four years," said
Families USA executive director Ron Pollack. "As a result, workers are
paying much more in premiums but are receiving less health coverage,
wages are being depressed; and millions of people have lost health
coverage entirely." The cost of health insurance premiums rose by
nearly 36 percent on average from 2000 to 2004 in 35 states, said the
group, which bills itself as a nonpartisan watchdog on health care
issues. Average earnings rose just 12 percent over the same time. The
Families USA report found that health insurance plans provided by
employers are covering fewer health services and workers are paying
higher deductibles and copayments. More than 60 percent of Americans
get their health insurance through an employer, according to Census
Bureau statistics. But the number of people without insurance rose last
year from 43 million to 45 million and some experts say rising
insurance costs are in part to blame. Families USA said it found 85.2 million people went without health insurance for some time during 2003 and 2004. [more ]
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