Oregonians delaying health care due to high costs, OHA report shows

Rising health care costs have caused more Oregonians to delay accessing health care since 2019, according to an Oregon Health Authority report.

Health care costs have been rising the past 10 years due to inflation. And the pandemic caused a spike in costs because of staffing shortages, expanded behavioral health care and a pause on non-emergency services, the report says.

Nationally, 38% of adults reported delaying health care in 2022 because of costs.

In 2020, health care and health insurance costs represented 23% of household spending in Oregon, an upward trend continuing from 2018 as costs increased faster than the national rate, according to the report.

Economic barriers to health care cause some people to delay getting the services they need, especially working-age adults and Hispanic or Latino individuals. The pandemic put a greater burden on these individuals, the report said.

People of color, those in rural areas, and low-income individuals and families experience more barriers to accessing quality health care, such as a lack of economic stability, transportation, and availability of services nearby.

While some people delay health care leading to worsening health outcomes, others accrue medical debt. The report said 10.2% of Oregonians reported using all or most of their savings on medical bills in 2021.

Oregonians most impacted by increased health care costs

Rising health care costs primarily affect uninsured working age adults in Oregon. Of those who are insured, those with Medicaid (Oregon Health Plan) and commercial health plans were more likely to delay care than those with Medicare.

In 2021, 9.2% of Oregonians 19-34 years old, 9.8% of those 35-64 years, and 5.2% of those 65 years and older reported delaying health care due to costs, the report shows.

Oregonians of color experience more economic barriers when accessing health care, according to the OHA's Sustainable Health Care Cost Growth Target Program. People with two or more races or who are Hispanic or Latino were most likely to report delaying care due to costs.

American Indian and Alaskan Native Oregonians, who represent 1.9% of the population, were the third most likely to report delaying health care due to costs.

White people, who make up 74% of the Oregon population, reported the least difficulty paying their medical bills.

What is driving the increase in health care costs?

The net cost of private health insurance represents the cost to Oregonians for their health insurance, whether that is a commercial health plan, a Medicare Advantage plan or Oregon Health Plan. This cost per person rose by 38.7% from 2019-2020.

These costs are partially due to a low number of claims being made during the pandemic because people were not seeking non-emergency health care but still paying their monthly insurance premiums.

The average yearly cost per person for Medicare in 2020 was $1,360, a 64% increase from previous years. For Medicaid, these costs rose by 49.5% to $424 per person in 2020.

Insurance companies expect costs will continue climbing due to inflation, as people seek to access health care they were not able to receive during the pandemic.

Insurance companies also attributed rising drug costs to the pharmaceutical industry and an increase in inpatient hospital services as drivers of cost increases.

Efforts in Oregon to expand and improve access to behavioral health care have resulted in increased behavioral health spending, which also drives up the costs for patients.

Health care providers say workforce retention and recruitment has resulted in an increased economic burden as they try to incentivize workers to remain in or join the health care workforce, especially hospitals attempting to maintain operations.

In 2021, the Oregon Association of Hospitals and Health Systems reported a 20% increase in hospital payroll costs.

OHA Sustainable Health Care Cost Growth Target Program: A hearing will be held May 17 to discuss the report, analyze the high costs of health care and discuss possible ways to lower the economic burden.

Sydney Wyatt covers health care inequities in the Mid-Willamette Valley for the Statesman Journal. Send comments, questions, and tips to her atSWyatt@gannett.com, (503) 399-6613, or on Twitter@sydney_elise44

The Statesman Journal’s coverage of health care inequities is funded in part by theM.J. Murdock Charitable Trust, which seeks to strengthen the cultural, social, educational, and spiritual base of the Pacific Northwest through capacity-building investments in the nonprofit sector.