Employer-Based Health Coverage Slides With Economy

Posted on | June 2, 2011 | 1 Comment

Mike Magee

According to a report from the nonpartisan Employee Benefit Research Institute (EBRI), health coverage for employees is sliding down with the economy. “During a recession, some employers will drop coverage, some will increase the worker share of the premium, and some may change eligibility requirements. Structural changes in the economy during a recession, such as the substitution of part-time workers for full-time workers, reduce the number of workers eligible for health benefits. This reflects the fact that while unemployment is rising, an increasing share of workers may decline coverage for a number of reasons.”

The full report appears from the EBRI in “The Impact of the 2007−2009 Recession on Workers’ Health Coverage,” online at www.ebri.org

Key facts from the study:

• The percentage of managerial and professional specialty workers with coverage from their own job fell from 66.1 percent to 65.4 percent between 2008 and 2009.

• The percentage of workers in service occupations with coverage from their own job fell from 33.9 percent to 32.4 percent; coverage among workers in sales and office occupations fell from 50.5 percent to 49.6 percent; coverage among construction, extraction, and maintenance workers fell from 48.3 percent to 46.1 percent; and coverage among workers in production, transportation, and material moving occupations fell from 55 percent to 52.9 percent.

• Workers in farming, fishing, and forestry had health coverage fall from 22.9 percent to 20.3 percent.

How did we become so dependent on employer-based health insurance in America? Hint: Toledo, OH – 1949. For the insider history of how we got there, GO HERE.

For Health Commentary, I’m Mike Magee

Category: employer-based health care, health care reform, health consumer, health insurance, health plans
Tags: ebri

Comments

One Response to “Employer-Based Health Coverage Slides With Economy”

medical assistant
June 4th, 2011 @ 6:49 am

I’m one of the victims. Not only I lost my insurance but also got laid off due to budget shortage (so they say…but i think its more of managerial problem). Any how, I think something has to be done about this SOON. A few of my close ones also suffering due to this.