Texas Health Institute announces study on the uninsured in Texas

by PegNews wire

AUSTIN — The Texas Health Institute (THI), an independent, non-partisan thinktank working to improve the health of Texans, today announcedproposed solutions that could cut the number of Texans without health coverage almost in half in three to five years. The study also examines the corresponding economic impact of reducing the number of uninsured Texans by 50 percent.

"Representing more than one-third of the state budget, health and human services issues will undoubtedly be a major focus of the 80th Legislature," said Texas Speaker of the House Tom Craddick. "I appreciate the efforts of the Texas Health Institute through the Shared Vision Project to bring together differing views and voices on the issues that confront us."

The THI study and other statistics show that Texas has the highest rate of uninsured in the nation. More than 5.59 million Texans - nearly 25 percent of the state's total population - lack basic health coverage. The study finds, of the $65 billion in health care delivered to the uninsured in the U.S., only one-third of the cost is paid for by the uninsured. Of the remaining two-thirds, the government pays one-third, and the rest is paid for by people with insurance. "Thus, we all already pay for the uninsured," said Camille D. Miller, THI president & CEO.

To see the full report, including the study's proposed solutions, check out their website here.

Among the findings:

• The uninsured work. At least 72 percent of Texas' uninsured live in households where one or more family members work full-time; another 10 percent live in households with a family member who works part-time. Most of these individuals work in one of Texas' small businesses - those with 2-50 employees.
• The uninsured are young. Twenty-three percent of our uninsured are children younger than 18 years of age. An additional 36 percent are between the ages of 18 and 34 years of age.
• The uninsured are not all poor. Forty percent of families without health coverage have incomes of $40,000 a year or more. However, in 2004 the cost of health coverage for a family of four would have been more than $11,000 or 25 percent of their annual income.
• Geography matters. Every county in Texas has uninsured, but almost half live in Texas' five largest urban counties: Bexar, Dallas, El Paso, Harris, and Tarrant. The counties where the highest percent of their populations' are uninsured, however, are along the Texas-Mexico border, where between 29 to 34 percent of the residents are uninsured.
• Ethnicity matters. Hispanics - a dramatically growing segment of the population - are three times more likely, and Blacks twice as likely, as Anglos to be uninsured.

The THI study determined that reducing the state's uninsured by half would be beneficial economically. Specifically the analysis showed that in 2005:

• The Texas economy would have seen a total increase in annual economic activity of just over $9.4 billion.
• Direct healthcare expenditures in the economy would have increased by an additional $3.7 billion.
• Nearly 90,000 new jobs would have been created in all sectors of the economy.
• Total income (compensation to employees and employers) would have grown by more than $3.2 billion.
• Texas state government would have received more than $162 million in new revenues.

Additionally, studies show the benefits of increasing healthcare coverage include decreased mortality, increased labor force participation, greater worker productivity, reduced sick days, and generally provide an enhanced quality of life.

Currently, only 24 percent of Texas' small businesses offer health coverage. Additionally, many individuals cannot afford individual health insurance policy premiums. For many who can afford it, their risk -- due to health conditions -- makes coverage inaccessible. For some people -- most of them young -- they do not see the value in insurance and do not believe they need health coverage.

Posted by Todd M.