CALIFORNIA: STUDY FINDS RANKS OF UNINSURED GROWING
While the number of uninsured children in CaliforniaThis is part of the California Healthline Daily Edition, a summary of health policy coverage from major news organizations. Sign up for an email subscription.
decreased between 1988 and 1996, the number of uninsured adults
grew by about 40% over the same period, according a study
released yesterday by Taxpayers Against Higher Health Costs, "a
pro-business advocacy coalition of the California Chamber of
Commerce, health care providers and health insurer
organizations." Study co-author John Sheils said "the number of
Californians without health insurance increased from 4.7 million
to 6.6 million" over the period. One reason for the growth, he
said, "was that more working Californians have declined coverage
because of their increasing shares of premium costs." "The most
significant factor is that premiums are going up. Over the past
eight to 10 years, a majority of employers have increased the
employee share. A lot of employers just cover employees, not
dependents," Sheils said. At the same time, the study, which was
conducted by the Arlington, VA-based Lewin Group, found that the
number of uninsured California children declined from 30% to
25.6% over the period, mainly due to expanded access to Medi-Cal
coverage.
NOT SO TRENDY
In 1988, almost 60% of Californians were covered by employer
plans, while in 1996 that number had dropped to 51.4%, according
to the study. Altogether, the percentage of state residents
lacking health insurance rose from 17% to 20.5% over the period.
Other study findings, the AP/Contra Costa Times reports, include
a measurable increase in per-capita health spending in the state
between 1991 ($3,041) and 1996 ($3,685). "Assuming an average
rate of growth of 5.2% in the future," the report estimates that
per-capita health spending will reach $7,927 by 2010, with the
government chipping in to cover 51% of that cost, up from the
current 44%. The number of uninsured Californians would have
been "1 million to 1.5 million higher" if it were not for the
pervasiveness of HMOs in the state, according to Sheils. He also
said managed care reduced health costs by an average of 19% --
15% from provider discounts and 4% from "utilization management"
measures such as "restricting treatments."
THE REAL AGENDA
Taxpayers Against Higher Health Costs spokesperson Anthony
Quinn said the group "sought the study after it discovered during
its campaign against 1996 health care ballot initiatives that
there was no comprehensive information about health costs and
utilization in California." Quinn "said the data wouldn't
necessarily be used to oppose future legislative or initiative
health care reforms, but only to have reliable data to document
the costs and other effects of various proposals" (Willis, 1/13).