A Gallup and West Health survey found that over one-third of Americans (approximately 91 million people) cannot afford quality medical care, marking a record high. This inability to afford healthcare is disproportionately affecting low-income, Black, and Hispanic Americans.
The survey categorized individuals into three groups based on their ability to afford healthcare: cost secure, cost insecure, and cost desperate. The percentage of cost-desperate individuals has risen significantly, particularly among low-income households. For example, 25% of households earning less than $24,000 annually reported being unable to afford essential medical care in 2024, compared to 14% in 2021.
Many are resorting to drastic measures, including cutting back on utilities or food to cover medical expenses, or taking on debt. In 2024, 12% of Americans borrowed an estimated $74 billion to pay for healthcare.
The study highlights significant racial and economic disparities. While white adults saw no change in their cost security between 2021 and 2024, Hispanic and Black adults experienced an eight and five percentage point decline, respectively. The impact is most severe in the West and East South Central regions (the Bible Belt), where people are less likely to have insurance and face greater health challenges like obesity and diabetes.
The rising healthcare costs are exacerbated by the proposed House Republican budget, which aims to cut $880 billion in Medicaid funding over ten years. This could disproportionately harm Black and Hispanic Americans, who rely heavily on Medicaid for healthcare coverage.
The study emphasizes the urgent need to address rising healthcare costs and the widening disparities in access to affordable and quality medical care across different demographics in the United States.
Over a third of Americans can't afford quality medical care.
That figure represents about 91 million people, per a survey published on April 2 and conducted by Gallup and West Health, and is a record-high number for the four-year-old survey.
The survey results come as healthcare costs rise, and some people have experienced lapses in health insurance coverage due to policy changes. The study results indicate that the affluent are experiencing little to no change in their access or ability to afford to healthcare, while the low-income Americans are shut out. Dan Witters, one of the survey's authors and researchers, said this is likely due in part to inflation.
"If you're making under $25,000 a year, that absolutely can be the difference between whether you can spend the money on it or not," said Witters, who is also the research director of Gallup National Health and Well-Being Index, when speaking about the ability to afford healthcare.
Researchers split survey respondents into three categories — cost secure, cost insecure, and cost desperate — based on their ability to access and pay for medicine and care. They found that the percentage of people unable to afford healthcare expenses has been rising fastest among low-income, Black, and Hispanic Americans.
Meanwhile, 25% of households making less than $24,000 a year reported being unable to afford and access essential medicine and care in 2024, up from 14% in 2021.
While white adults saw no change in the same time period, Hispanic and Black adults experienced an eight and five percentage point decline in cost security, respectively.
Witters said the costs are highest for those living along the Bible Belt in the West and East South Central regions. He added that fewer people in those regions are insured and have greater health complications, like obesity and diabetes.
"People that are sickest in this country, that have the most chronic conditions, that require the most prescription drugs, are also the ones that are least likely to be able to afford and access our healthcare system," Witters said.
Witters added that a third of the people deemed cost desperate in the survey are cutting back on utilities or food to pay for medical costs.
Others take on debt: West Health and Gallup recently reported that in 2024, 12% of Americans borrowed money to pay for healthcare, which amounted to about $74 billion borrowed.
Additionally, low-income Americans who rely on Medicaid for health insurance are bracing for potentially fewer benefits. In February, House Republicans passed a proposed budget that aims to cut $880 billion in funding for Medicaid over the next 10 years.
The Economic Policy Institute found that these cuts to Medicaid could disproportionately impact Black and Hispanic Americans who are more likely to rely on Medicaid for healthcare coverage.
Do you have a story to share about being unable to afford your medical costs? Contact this reporter via email at jdeng@businessinsider.com.
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