Survey Exposes High Costs, Inadequate Coverage, and Urgent Need for Reforms

Millions of Americans Forced to Borrow for Medical Care

The high cost of healthcare in the United States is forcing millions of Americans to take on debt just to access essential medical services. A new survey by Gallup and West Health, a group of nonprofit health care organizations, reveals that 31 million adults, or 12% of the U.S. population, borrowed a total of $74 billion last year to cover medical expenses.

This alarming statistic includes individuals with health insurance, highlighting the inadequacy of current coverage for many Americans. Nearly one-third of respondents expressed significant concern that a major health event would lead to medical debt, despite having some form of insurance.

The survey underscores the vulnerability of individuals and families facing financial hardship simply to afford basic healthcare. "Families are forced to take out loans and borrow to cover expensive care that is needed," stated Tim Lash, president of West Health. "These big numbers are concerning, but the humanity is lost in the billions and trillions as we reduce this down to what the lived experience is of the American individual and families."

To avoid debt, families often make difficult choices, such as reducing grocery purchases or delaying rent payments, in order to access necessary medical care. The survey also found disparities in borrowing based on age, with nearly one in five adults aged 18-28 reporting borrowing for healthcare compared to only 9% of those aged 50-64 and 2% of those 65 or older. This disparity is partly attributed to the more comprehensive coverage provided by Medicare to individuals over 65.

As of mid-2024, U.S. residents owed at least $220 billion in medical debt, according to data from the American Hospital Association. Medical bills have consistently been a leading cause of personal bankruptcies.

"We need reforms to find savings that can trickle down to the individual, so that these circumstances — of making what should be unnecessary tradeoffs — aren't the condition moving forward," concluded Lash.