Families USA Study Shows One in Three Children

Vast Majority of Uninsured Children Live in Working Families

Washington, DC - One in three children in the U.S. lacked health insurance for at least one month in 1995 and 1996, according to a study released today by the national health consumer group Families USA. The group said an estimated 23 million children went without coverage for at least a month during the two-year period.

The study, based on U.S. Census data, describes the characteristics of uninsured children, including their family incomes, whether their parents work and the length of time the children go without insurance. Almost half were uninsured for 12 months or longer; fewer than seven percent lacked insurance for less than three months.

The vast majority of uninsured children live in working families, the report points out. In nine out of 10 cases, the head of the household worked all or part of the two-year period covered by the study.

"One third of our nation's children without health coverage is an uninsurance epidemic," said Ron Pollack, executive director of Families USA. "Since these children are seven times more likely to be uninsured for a long period rather than a brief interlude, this epidemic must be taken seriously."

Pollack added that "America's uninsured children live in families where the breadwinners work hard, pay taxes and play by the rules. But they don't get health coverage on the job, for themselves or their children. And they can't afford to pay for it out-of-pocket."

States in the South and West had the highest percentages of children without health coverage. The 10 states topping the list were: Texas (46 percent), New Mexico (43 percent), Louisiana (43 percent), Arkansas (42 percent), Mississippi (41 percent), the District of Columbia (39 percent), Alabama (38 percent), Arizona (38 percent), Nevada (37 percent) and California (37 percent).

The states with the highest number of uninsured children for all or part of 1995-1996 were: California (3.4 million), Texas (2.6 million), New York (1.5 million), Florida (1.3 million), Illinois (972,000), Pennsylvania (867,000), Ohio (773,000), Michigan (670,000), Georgia (664,000) and New Jersey (553,000).

The study's key findings include:

Uninsured Children Tend to Stay Uninsured for a Long Time

• Almost half of uninsured children (47 percent) had uninsured spells of 12 months or longer during the two-year survey period.
• One in seven uninsured children (15 percent) lacked coverage for the full two-year period.
• Only one in 14 uninsured children (7 percent) lacked coverage for less than three months.

Most Uninsured Children Live in Working Families

• Nine out of 10 children who lacked insurance (89 percent) lived in households where the head of the household worked during all or part of the 24-month period.
• Among children uninsured for the full two years, 91 percent lived in households where the head of the household was employed during all or part of the study period.
• Almost two out of five household heads (38 percent) for children uninsured throughout the two-year period were employed full-time over the entire 24 months.

Most Uninsured Children's Parents Are Also Uninsured

• Only one out of five children without health coverage (22 percent) had a parent who was covered by an employer-provided health insurance plan.
• About 85 percent of parents whose children were uninsured were not covered by any type of health insurance at some point over the 24-month period.
• Most of the uninsured parents (71 percent) experienced spells of uninsurance that were the same length as, or longer than, their child's spell of uninsurance.

"Several studies show that employers are less and less likely to offer health insurance for workers' family members," said Cheryl Fish-Parcham, the health policy analyst for Families USA who coordinated the study. "Many companies that do offer family coverage now require the employee to pay more of the premium. For some workers, it's a choice between health insurance for the kids or food on the table."

A Large Portion of Uninsured Children Are From Moderate-Income Families

• Almost one out of three uninsured children (34 percent) lived in a family with an income of $28,800 or more (in 1996 dollars).
• Of all children with family incomes of $28,800 or more (in 1996 dollars), one out of six (16 percent) lacked health insurance.
• Half of all children with family incomes between $17,280 and $28,800 (in 1996 dollars) had no health insurance for all or part of the two-year period.
• Fewer than one out of four uninsured children (24 percent) lived in families with annual incomes of below $11,520 (in 1996 dollars).

Most Uninsured Children Live in Two-Parent Households

• Uninsured children are two times more likely (69 percent versus 31 percent) to live with a married, rather than a single, parent.
• Children uninsured for the entire 24-month period are four times more likely (79 percent versus 21 percent) to live with a married, rather than a single, parent.

More Than Half of Uninsured Children Are Non-Hispanic Whites

• Non-Hispanic white children made up a majority of the uninsured children (55 percent).
• Hispanic children comprised 22 percent of the uninsured child population; more than half of all Hispanic children (53 percent) lacked insurance for a month or longer during the two-year study period.
• Black children accounted for 19 percent of the total number of uninsured children; almost four out of 10 black children (38 percent) went without insurance for a month or longer during the study period.

Many Children Whose Parents Have High School Degrees Are Uninsured

• Seven out of 10 children without health insurance (70 percent) were in families whose head of household graduated from high school or went on to receive a college education.
• Only one in eight (12 percent) of uninsured children lived in a family whose head of household had no high school education.

Note to reporters: Estimates of uninsured children are based on the Census Bureau's Current Population Survey for March 1995 and 1996, as well as the Census Bureau's Survey of Income and Program Participation (SIPP) for February 1991 through January 1993. The analysis of the characteristics of uninsured children and their length of uninsurance was based on the SIPP from February 1, 1991 through January 31, 1993 -- the most recent two-year period available for analysis.

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Families USA is the national organization for health care consumers. It is nonprofit and nonpartisan and advocates for high-quality, affordable health care for all Americans.

1201 New York Avenue NW, Suite 1100 · Washington, DC 20005
202-628-3030 · Email: info@familiesusa.org · www.familiesusa.org