In the United States, average employee premium contributions and deductibles as a percentage of median household income have risen in the past decade. In 2020, an employee’s total potential out-of-pocket medical costs (premium and deductible) amounted to 11.6 percent of median income. This included 6.9 percent in employee premium contributions and 4.7 percent in deductibles. However, states varied greatly in median income spent on premiums and deductibles, with workers in Mississippi having to spend on average 19 percent of their income on potential out-of-pocket medical costs.

Employer sponsored health insurance In 2020, over half of the U.S. population has some type of employment-based health insurance coverage. The Affordable Care Act penalizes large employers (with 50 or more full-time employees), if they do not provide health insurance to their employees. Nevertheless, of the uninsured aged under 65 years, the large majority worked either full or part-time (or someone in their household did).

Out-of-pocket medical costs Despite having insurance coverage, most plans have a deductible, the amount an insured must pay themselves that year before their insurance starts covering for them. The average annual deductible for single coverage amounted to roughly 1,700 U.S. dollars in 2021. Even after reaching their deductible, most insured have other forms of out-of-pocket health costs in the form of co-payments and co-insurance for health services or prescription drugs.

The graph depicts the percentage of the U.S. median income allocated to health insurance premiums and deductibles from 2010 to 2020. The x-axis represents the years, ranging from 2010 to 2020, while the y-axis shows the percentage of median income spent on these healthcare costs. Over the decade, the percentages increased from 9.10% in 2010 to a peak of 11.60% in both 2017 and 2020, with the lowest value at 9.10% in 2010. The data reveals a consistent upward trend in the portion of median income dedicated to premiums and deductibles, highlighting rising healthcare expenses for Americans during this period. The information is presented in a line graph format, emphasizing the steady increase in healthcare cost burdens relative to median income over the ten years.

In 2020, an employee's premium contributions and deductibles were 10 percent or more of their state's median income in 37 states. Workers in Mississippi and New Mexico faced the highest total potential out-of-pocket medical costs relative to their income at 19 and 18.1 percent respectively. This statistic shows the percentage of state median income spent on premium contribution and deductible by U.S. employees in 2020, by state.

Graph and download economic data for Expenditures: Healthcare by Deciles of Income Before Taxes: Third 10 Percent (21st to 30th Percentile) (CXUHEALTHLB1504M) from 2014 to 2023 about healthcare, health, percentile, tax, expenditures, income, and USA.

Graph and download economic data for Expenditures: Health Insurance by Deciles of Income Before Taxes: Lowest 10 Percent (1st to 10th Percentile) (CXUHLTHINSRLB1502M) from 2014 to 2023 about health, percentile, insurance, tax, expenditures, income, and USA.

United States US: Proportion of Population Spending More Than 25% of Household Consumption or Income on Out-of-Pocket Health Care Expenditure: % data was reported at 0.781 % in 2013. This records a decrease from the previous number of 0.856 % for 2012. United States US: Proportion of Population Spending More Than 25% of Household Consumption or Income on Out-of-Pocket Health Care Expenditure: % data is updated yearly, averaging 0.880 % from Dec 1995 (Median) to 2013, with 18 observations. The data reached an all-time high of 1.078 % in 2000 and a record low of 0.724 % in 2008. United States US: Proportion of Population Spending More Than 25% of Household Consumption or Income on Out-of-Pocket Health Care Expenditure: % data remains active status in CEIC and is reported by World Bank. The data is categorized under Global Database’s USA – Table US.World Bank: Poverty. Proportion of population spending more than 25% of household consumption or income on out-of-pocket health care expenditure, expressed as a percentage of a total population of a country; ; Wagstaff et al. Progress on catastrophic health spending: results for 133 countries. A retrospective observational study, Lancet Global Health 2017.; Weighted Average;

According to the data, 13.4 percent of residents aged under 65 in Wyoming had high out-of-pocket costs relative to their annual household income in 2020-2021. This statistic depicts the percentage of people in the U.S. with high out-of-pocket medical costs in 2020-2021, by state.

In 2022, the South Korean government's public health insurance program National Health Insurance Service (NHIS) made up around 63 percent of the total medical expenditure that year. The remaining 37 percent of medical costs were taken on by private insurance companies. The NHIS has taken on a slowly increasing share of the total medical expenses.

Medical expenditure in South Korea

In 2022, South Korea’s total national medical expenditure amounted to about 102.4 trillion South Korean won. Both total and per capita spending have risen over the past decade, further leading to increases in premiums. The NHIS is a compulsory universal health insurance scheme run by the government and is financed by a payroll tax. It covers roughly 68 percent of hospital inpatient costs.

The role of private health insurance in South Korea

With the NHIS only covering part of the insured’s medical costs, it is common in South Korea to pay for additional private health insurance. As this represents an additional cost on top of NHIS premiums, the share of households covered and the extent of personal health coverage varies by income. On average, privately insured households held 4.88 private health insurance subscriptions. In comparison, low-income households only had 2.55 subscriptions on average.

This dataset represents the counts of those individuals who have been determined to have a share of cost (SOC) obligation, which is the monthly amount of medical expenses they must incur before they are eligible to receive Medi-Cal benefits. The dataset includes individuals who have a met or unmet monthly SOC obligation. Individuals who have not met their monthly SOC obligation are not eligible for Medi-Cal. SOC obligations are calculated during the eligibility determination process based on household income.

The United States has the highest expenditure on health care per capita globally. However, the U.S. has an unique way of paying for their health care where a majority of the expenditure falls upon private insurances. In FY 2023, around one third of all health expenditure is paid by private insurance. Public insurance programs Medicare and Medicaid accounted for 22 and 18 percent, respectively, of health expenditure during that same year.

U.S. health care system

Globally health spending has been increasing among most countries. However, the U.S. has the highest public and private per capita health expenditure among all countries globally, followed by Switzerland. As of 2020, annual health care costs per capita in the United States totaled to over 12 thousand U.S. dollars, a significant amount considering the average U.S. personal income is around 54 thousand dollars.

Out of pocket costs in the U.S.

Aside from overall high health care costs for U.S. residents, the total out-of-pocket costs for health care have been on the rise. In recent years, the average per capita out-of-pocket health care payments have exceeded one thousand dollars. Physician services, dental services and prescription drugs account for the largest proportion of out-of-pocket expenditures for U.S. residents.

This dataset represents the counts of those individuals who have been determined to have a share of cost (SOC) obligation, which is the monthly amount of medical expenses they must incur before they are eligible to receive Medi-Cal benefits. The dataset includes individuals who have a met or unmet monthly SOC obligation. Individuals who have not met their monthly SOC obligation are not eligible for Medi-Cal. SOC obligations are calculated during the eligibility determination process based on household income.

The global pet medical expenses insurance market is projected to reach USD 21.93 billion by 2033, expanding at a CAGR of 10.2% from 2025 to 2033. The rising pet ownership, increasing awareness of pet health and well-being, and growing disposable income among pet owners are the primary factors driving the market growth. Additionally, the emergence of advanced veterinary technologies and treatments, coupled with the increasing incidence of pet-related diseases, is further contributing to the demand for pet medical expenses insurance. In terms of segmentation, the lifetime cover type is expected to hold a significant market share during the forecast period. This coverage provides comprehensive medical care for pets throughout their lifetime, which is preferred by pet owners seeking long-term financial protection for their furry companions. The dog application segment is also anticipated to dominate the market due to the higher prevalence of dogs as pets worldwide. Geographically, North America is the largest market for pet medical expenses insurance, followed by Europe and Asia Pacific. The market in emerging economies in Asia Pacific is projected to witness substantial growth during the forecast period due to the increasing pet ownership and disposable income in these regions. Pet medical expenses insurance is a valuable financial tool that can assist pet owners in covering the costs of unexpected veterinary care. Market concentration, product insights, regional trends, driving forces, challenges, emerging trends, growth catalysts, key players, and significant developments in the pet medical expenses insurance industry are thoroughly examined in this report.

According to a 2020 survey, all eleven select high-income countries showed income-related inequalities in affordability of health care such that those with lower income were more likely to have had problems paying medical bills in the past year. The discrepancy was largest in the U.S. where over a third of lower-income adults reported facing this problem. This statistic illustrates the share of adults who had problems paying medical bills in the past year among 11 high-income countries in 2020 including the U.S., by income level.

Nigeria NG: Proportion of Population Spending More Than 25% of Household Consumption or Income on Out-of-Pocket Health Care Expenditure: % data was reported at 8.920 % in 2009. This records an increase from the previous number of 3.833 % for 2003. Nigeria NG: Proportion of Population Spending More Than 25% of Household Consumption or Income on Out-of-Pocket Health Care Expenditure: % data is updated yearly, averaging 6.376 % from Dec 2003 (Median) to 2009, with 2 observations. The data reached an all-time high of 8.920 % in 2009 and a record low of 3.833 % in 2003. Nigeria NG: Proportion of Population Spending More Than 25% of Household Consumption or Income on Out-of-Pocket Health Care Expenditure: % data remains active status in CEIC and is reported by World Bank. The data is categorized under Global Database’s Nigeria – Table NG.World Bank: Poverty. Proportion of population spending more than 25% of household consumption or income on out-of-pocket health care expenditure, expressed as a percentage of a total population of a country; ; Wagstaff et al. Progress on catastrophic health spending: results for 133 countries. A retrospective observational study, Lancet Global Health 2017.; Weighted Average;

In 2022, U.S. national health expenditure as a share of its gross domestic product (GDP) reached 17.3 percent, this was a decrease on the previous year. The United States has the highest health spending based on GDP share among developed countries. Both public and private health spending in the U.S. is much higher than other developed countries. Why the U.S. pays so much moreWhile private health spending in Canada stays at around three percent and in Germany under two percent of the gross domestic product, it is nearly nine percent in the United States. Another reason for high costs can be found in physicians’ salaries, which are much higher in the U.S. than in other wealthy countries. A general practitioner in the U.S. earns nearly twice as much as the average physician in other high-income countries. Additionally, medicine spending per capita is also significantly higher in the United States. Finally, inflated health care administration costs are another of the predominant factors which make health care spending in the U.S. out of proportion. It is important to state that Americans do not pay more because they have a higher health care utilization, but mainly because of higher prices. Expected developmentsBy 2031, it is expected that health care spending in the U.S. will reach nearly one fifth of the nation’s gross domestic product. Or in dollar-terms, health care expenditures will accumulate to about seven trillion U.S. dollars in total.

In 2020, about 14 percent of adults aged 40 years and older in the United States with a household income of less than 30,000 U.S. dollars stated that they very often limited seeking medical care due to cost concerns. This statistic illustrates the percentage of U.S. adults aged 40 years and older who delayed or limited medical care due to cost in 2020, by household income.

DM: diabetes mellitus; CGN: chronic glomerulonephritis; CVD: cardiovascular disease; RRF: residual renal function. *Proportion of individual income used for medical expenses was calculated as the percentage of yearly household income per person used each year for yearly self-paid medical expenses. **Frequent visitors were those who visited a doctor at least once every 3 months.

As of June 2022, 20 percent of adults with a family income between 50 and 100 thousand U.S. dollars indicated that they have ever received an unexpected out-of-network medical bill after receiving medical care. The No Surprises Act (NSA) went into effect from January 1, 2022, it protects patients from surprise medical bills under certain circumstances, making it illegal for out-of-network providers to charge patients more than the in-network cost-sharing amount. This statistic shows the percentage of U.S. adults who have ever received a surprise out-of-network medical bill since January 2022, by family income.

Among OECD member countries, the United States had the highest percentage of gross domestic product spent on health care as of 2023. The U.S. spent nearly 16 percent of its GDP on health care services. Germany, France and Japan followed the U.S. with distinctly smaller percentages. The United States had both significantly higher private and public spending on health compared with other developed countries. Why compare OECD countries?OECD stands for Organization for Economic Co-operation and Development. It is an economic organization consisting of 38 members, mostly high-income countries and committed to democratic principles and market economy. This makes OECD statistics more comparable than statistics of developed and undeveloped countries. Health economics is an important matter for the OECD, even more since increasing health costs and an aging population have become an issue for many developed countries. Health costs in the U.S.  A higher GDP share spent on health care does not automatically lead to a better functioning health system. In the case of the U.S., high spending is mainly because of higher costs and prices, not due to higher utilization. For example, physicians’ salaries are much higher in the U.S. than in other comparable countries. A doctor in the U.S. earns almost twice as much as the average physician in Germany. Pharmaceutical spending per capita is also distinctly higher in the United States. Furthermore, the U.S. also spends more on health administrative costs compare to other wealthy countries.

Graph and download economic data for Total Expenses for Medical and Diagnostic Laboratories, Establishments Subject to Federal Income Tax (EXP6215TAXABL157QNSA) from Q2 2009 to Q4 2024 about diagnostic labs, medical, establishments, tax, expenditures, federal, income, rate, and USA.