© 2024 The Asclepius Initiative Inc. All Rights Reserved
Health care coverage plays an important role in protecting both health and financial well-being. It can support access to care and reduce the risk of crippling medical debt.
Medical Impact
Without health care coverage, people are less likely to seek care for routine check-ups or when they feel sick. As a result, important tests and screenings may be missed, and serious conditions such as cancer are often diagnosed later, when they are harder to treat. This contributes to higher death rates among those without coverage.
When serious illness requires hospital care, those without coverage often receive fewer tests and treatments and have lower survival rates.
Overall, people without health care coverage tend to have poorer health and shorter life expectancies compared to those with coverage.
Financial Impact
Health care coverage also impacts economic security. Without coverage, the cost of care can be difficult to manage. Some individuals may delay or avoid care due to cost, while others may receive care but struggle to pay their bills.
Medical expenses can force tradeoffs with basic needs such as food or clothing and can affect long-term financial stability. For example, medical debts over $500 can impact credit scores, making it harder to obtain loans for essential items such as household appliances, a car, or housing.
Many people without coverage have limited savings, so medical bills can quickly become unmanageable debt.
Medical debt is one of the most common reasons people are contacted by debt collectors. Although debts under $500 are no longer reported by major credit bureaus, health care costs can quickly exceed that threshold. These burdens are not evenly distributed. In Kentucky, communities of color carry medical debt at roughly twice the rate of white communities.
Across the country, medical debt has led some individuals to relocate, lose housing, or file for bankruptcy. About two-thirds of bankruptcies in the United States are estimated to be tied to medical debt or loss of income due to illness.
Why It Matters
Health care coverage may appear costly, but going without it can put health and finances at risk. Coverage helps to lower these risks and increases the likelihood that people can get care when they need it.
These and associated educational materials have been developed using our available resources. They are not intended to serve as advice or recommendations on selecting a specific type of coverage or plan. Any errors or omissions are unintentional.
These materials were supported by funds made available by the Kentucky Department for Public Health’s Office of Health Equity from the Centers for Disease Control and Prevention, National Center for STLT Public Health Infrastructure and Workforce, under RFA-OT21-2103.
The contents of these materials are those of the authors and do not necessarily represent the official position of or endorsement by the Kentucky Department for Public Health or the Centers for Disease Control and Prevention.