Recession, Costs May Increase Numbers of Uninsured, National Journal Reports

The Sept. 11 attacks on the World Trade Center and the Pentagon, an economic recession and a "surge" in health care costs may lead to "record levels" of uninsured Americans, National Journal reports. By the end of 2002, some experts predict that at least six million more Americans will lose their health insurance, increasing the number of uninsured to 45 million. Federal and state health officials said that the recession has forced states to reduce funding for Medicaid and CHIP, which provide a safety net for low-income Americans without health coverage. In the past few months, states have considered "tougher" eligibility requirements, "scaled-back" benefits and increased costs for those enrolled in the programs. National Journal reports that the recession and increased health care costs also have "pressed" employers. In response, many employers have raised health insurance premiums for their employees, often by "double-digit percentage increases," and some companies have dropped health coverage entirely. Henry Simmons, president of the National Coalition on Health Care, a nonpartisan group that advocates universal health care, said, "Never in our history have we faced this number of forces, and of this magnitude, simultaneously. It's time to get to a national debate about how to restructure the health care system." Although President Bush and lawmakers have debated proposals to help the uninsured, they have not yet agreed on a plan, National Journal reports (Serafini, National Journal, 12/1).