Health insurance means different things to people across the world – the USA’s system is known for several distinguishing features, including a high relative cost to the individual and a lack of universal coverage.You may be wondering why the cost of healthcare insurance seems to be rising and how the picture compares to other nations.
In a country that spends nearly $4 trillion on healthcare yet finds coverage varies widely, there’s a lot to weigh up.Across the United States, Americans pay wildly different premiums monthly for health insurance. The average annual cost of health insurance in the USA is $7,470 for an individual and $21,342 for a family as of July 2020, according to the Kaiser Family Foundation – a bill employers typically fund roughly three quarters of.
The cost to each person can vary a lot, however, based on factors such as age, geography, employer size and the type of plan they’re enrolled in. While these premiums are not determined by gender or pre-existing health conditions, thanks to the Affordable Care Act, a number of other factors impact what you pay.Deductibles, also known as out-of-pocket fees, are a common feature in American health insurance policies, meaning upfront costs are common even for those who are insured.
83% of covered American workers have a general annual deductible that must be met before services are funded by their health plan and the average size of a deductible is $1,644 for individuals. These fees tend to be higher in smaller firms.Of course, not all companies offer health benefits to employees – 44% of firms did not offer insurance to staff in 2020.
For those without cover, as well as entrepreneurs and the self-employed, taking out private health insurance is a common route. The average cost of purchasing your own health insurance in this way is $456 per month for unsubsidised individuals in the USA, according to a 2020 survey by eHealth