ABSTRACT

How the COVID-19 Recession Could Affect Health Insurance Coverage   [open pdf - 691KB]

From the Document: "Thirty million workers filed initial unemployment claims between March 15 and April 25. Near-term forecasts suggest the unemployment rate will likely be between 15 to 20 percent by June. Economic forecasters at S&P [Standard and Poor's] expect the unemployment rate to reach 18 percent in May, which they note would be closer to the Depression-era peak of 25 percent in 1933 than the 10 percent peak following the Great Recession. One estimate by the Federal Reserve Bank of St. Louis has suggested the unemployment rate could reach as high as 30 percent. As workers lose their jobs, many will lose their employer-sponsored health insurance (ESI). Many of these workers will newly qualify for Medicaid coverage, particularly in states that expanded Medicaid eligibility under the Affordable Care Act (ACA). Others will purchase individual coverage on the health insurance marketplaces, possibly with a subsidy to offset the premium cost (depending on their income). And some will be unable to replace their ESI coverage and will become uninsured."

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Date:
2020-05
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Copyright:
Urban Institute. Posted here with permission. Documents are for personal use only and not for commercial profit.
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Urban Institute: https://www.urban.org/
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pdf
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application/pdf
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