Facts on California Health Care Crisis

The Insured

  • There are 35 million residents in California
  • 18 million people obtain coverage through their employer
  • 10 million people obtain coverage through a public program
  • 1-2 million people have individual coverage

The Uninsured

  • 20% of Californians (6.6 million people) are uninsured – 80% of whom are working or have family members working
  • 800,000 of the uninsured are children
  • 71% of the state’s uninsured children are in families where the head of household works full time, all year
  • Almost 40% of California’s uninsured work for small employers with fewer than 25 workers
  • Nearly 1 in 3 uninsured have family incomes of $50,000 or more
  • Latinos, which represent more than half of California’s uninsured residents, are much more likely to be uninsured than any other ethnic group
  • Californians are more likely to be uninsured than residents in 45 other states

Reasons for Being Uninsured

  • 85% of those without insurance are not eligible for coverage from an employer
  • California has a higher proportion of uninsured residents and lower rates of employer-based coverage than the rest of the nation
  • The share of workers who receive health insurance through their employer has fallen from 70% in the 1970s to 50% today
  • Entitlement programs like Medi-Cal are growing beyond the means of the state
  • More than half of the state’s hospitals are operating at a deficit

The Cost of Health Care

  • Nearly half of those without insurance report having unpaid medical bills or in debt to a health provider
  • The cost of employer-sponsored health insurance has increased 78-percent since 2001
  • Those with health insurance have seen their premiums double since the year 2000
  • Medical problems and the cost of treatment are the leading cause of personal bankruptcy
  • Health care spending represents more than 10% of California’s economy ($170 billion annually)
  • On a national basis, the U.S. spends approximately $1.7 trillion per year – over 15% of the nation's economy – on health care
  • The U.S. spends 2.5 times more per capita ($7,110 annually for every person in the country) than the average of other developed nations