Costs are increasing across all markets
The high out-of-pocket costs experienced by Washington consumers are driven by the increasing costs of health care services for each patient. Data show that spending in each health insurance market including commercial, Medicare, and Medicaid saw substantial growth between 2017 and 2019.
Health care spending is outpacing income in Washington
Out-of-pocket health care costs for Washington consumers such as co-pays and deductibles have been outpacing wage growth. For Washingtonians with health insurance through their employer, more health care spending gets passed on to employees in the form of employee contributions. While more is being subtracted from workers’ paychecks every month, deductibles have risen even faster, increasing workers’ overall financial responsibility for health care services they receive.
People are delaying care due to financial burden
This rise in health care costs has a real impact on affordability for Washingtonians. Mounting out-of-pocket costs drive consumers to delay care, negatively impacting their health and putting a strain on household budgets. In 2022, 62% of Washington respondents reported experiencing health care affordability burdens in the last 12 months.
The path forward
The Cost Board will continue to work with carriers and other stakeholders to identify cost drivers and find ways to address the growth of health care costs. The board’s evidence-based approach to health care cost data provides a common understanding of spending trends for consumers, purchasers, and regulators to help make health care more affordable in Washington.
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