10% of Low-Income Enrollees Spend 18.5% of Income on Healthcare

The Urban Institute recently conducted an analysis of healthcare spending relative to income for marketplace enrollees. Here are some key findings from the report:

·         10% of enrollees with incomes below 200% of FPL will spend 18.5% of their income on healthcare.

·         1 in 10 enrollees with incomes 200-500% of FPL will spend 21% of their income on health costs.

·         At the 90th percentile, out-of-pocket expenses consume 13% for those with incomes below 300% of FPL.

·         Median financial burdens rise from 8.7 percent of income (excellent health) to 11.4% (fair/poor health).

·         Those with the most healthcare needs pay between 16.7% and 22.8% of income for their medical care.

·         Median financial burdens for age 45-64 are 9.6% and 12% for those ages 55-64.

Source: The Urban Institute, January 14, 2016