U.S. Immigrants' Premiums, Taxes Exceed Health Care Expenditures: Study

Kara Morris

Thursday, November 10, 2022 (Health Day News). Undermining the notion that immigrants are independent in the US health care system, a new study shows that they pay far more in health insurance premiums and related taxes than they actually pay for health care.

In effect, the amount immigrants pay offsets some of the health care that nonimmigrants use in addition to what they pay.

"Some politicians and pundits are telling Americans that immigrants are a burden on society, especially our health care system," said senior study author Dr. Stevie Wallhandler, Professor Emeritus at Hunter College, City University of New York. New York (CUNY) and lecturer at Harvard University. College of Medicine, according to a CUNY press release.

But the opposite is also true. Immigrants support the well-being of other Americans by tens of billions of dollars each year.”

People also read...

The study found that in 2017, immigrants paid about $58.3 billion more in insurance premiums and taxes than insurance companies and the federal, state and local governments for their caregivers. About 89% of all excess immigrant contributions were paid by undocumented immigrants.

In contrast, Native Americans received $67.2 billion more in care than they actually paid, according to the study's authors.

To reach this surprising conclusion, the researchers analyzed detailed data from the current Census Bureau survey, the American Community Survey and the Medical Expenditure Group Survey, which calculated the total payments individuals make to private and public insurance companies through premiums. and taxes.

The study authors also included additional information on Medicaid taxes and spending in each state and nationwide, as well as spending on charitable donations or hospital care, based on an estimate from the American Hospital Association.

While the main analysis used data from 2017, the most recent year available for government surveys, the study also provided cumulative estimates for the period 2012-2017.

Over the entire six-year period, the excess contribution of immigrants to the health system was $184.2 billion. By comparison, Native Americans received $185.2 billion more in care than they paid for.

The authors of the study report that immigrants are less likely to seek medical help. The average immigrant pays $6,345 in benefits while receiving $5,061. The results showed that the average American born pays $6,269 but receives $6,511 for nursing care.

The excess paid by illegal immigrants was particularly high, at $4,418 per capita, according to the study's authors. This may reflect their tendency to be young and healthy. The researchers concluded that while they tend to contribute to the health care financing system through taxes and insurance premiums based on employment, they are often reluctant to seek health care.

The results were published Nov. 9 in JAMA Network Open .

KFF has more information on Americans and health care spending.

Source: Hunter College of the City University of New York, press release, November 9, 2022

Hear the health spending trend in 2022