Percentage of Workers Covered by Employer-Supplied Health Insurance Declines

The Census Bureau reported Tuesday, August 28, that the percentage of people covered by employer-based health insurance decreased to 59.7 percent in 2006, from 60.2 percent in 2005, a factor contributing to the rise in the number of uninsured throughout the population.

The percentage and number of uninsured Americans rose in 2006 to 15.8 percent, or 47 million, up from 15.3 percent, or 44.8 million, in 2005.

Similarly, the percentage of children under 18 without health insurance increased to 11.7 percent, from 8.7 percent in 2005.

The percentage of Americans covered by government health insurance programs dropped to 27 percent, from 27.3 in 2005.

The high cost of health insurance has for years been a top concern for American businesses. Hospitals regularly charge employers more for medical services than the rates set by the Centers for Medicare and Medicaid Services as a way to make up for revenue lost by treating people who do not have health insurance.

—Jeremy Smerd