Uninsured individuals often face unaffordable medical bills when they do seek care. These bills can quickly translate into medical debt since most people who are uninsured have low or moderate incomes and have little, if any, savings.

Those without insurance for an entire calendar year pay for almost 40% of their care out-of-pocket. In addition, hospitals frequently charge uninsured patients higher rates than those paid by private health insurers and public programs

Uninsured nonelderly adults are much more likely than their insured counterparts to lack confidence in their ability to afford usual medical costs. Over eight in ten (85%) of uninsured nonelderly adults say they have difficulty affording health care costs, compared to 47% of adults with insurance

• Unaffordable medical bills can lead to medical debt, particularly for uninsured adults. More than six in ten (62%) uninsured adults report having health care debt compared to over four in ten (44%) insured adults . Uninsured adults are more likely to face negative consequences due to health care debt, such as using up savings, having difficulty paying other living expenses, or borrowing money. Beyond the significant financial consequences of having debt, two-thirds of uninsured adults with health care debt say they have had to make difficult sacrifices, such as eating less, changing their housing situation, or increasing work hours to pay down their debt.
• While federal and state laws require certain hospitals to provide some level of charity care, not all eligible patients benefit from these programs. Consequently, charity care costs represent a small share of operating expenses at many hospitals.
• Research suggests that gaining health coverage improves the affordability of care and financial security among the low-income population. Multiple studies of the ACA found declines in trouble paying medical bills and reductions in medical debt in expansion states relative to non-expansion states. More recent research found that Medicaid expansion decreased catastrophic health expenditures and was associated with greater increases in income among low-income individuals.

There is A Better Way