Continued Historic Lows in the Uninsured

According to the Centers for Disease Control and Prevention (CDC), 7.6% of Americans, or approximately 25.3 million people, were uninsured between April and June 2023. This marks a 0.4 percentage point increase compared to the previous year, but it aligns with the overall uninsured rate for 2023, which reached a historic low. The uninsured rate for adults aged 18–64 was 10.9% in 2023, showing a decrease from 2022. For children under 18, the uninsured rate stood at 3.9%. Meanwhile, 62.1% of Americans had private health insurance, including employer-based plans, the Affordable Care Act marketplace, and state-based exchanges. Interestingly, the number of uninsured Americans has decreased since 2019, or pre-COVID, when the rate was 10.3%, representing 33.2 million people.

Americans are increasingly recognizing the importance of health benefits. In fact, when considering the future workforce, Gen Z places a higher emphasis on mental health benefits, financial wellbeing programs (such as Employee Assistance Programs), and student loan repayment assistance than ever before. Meanwhile, older generations, like Baby Boomers, continue to prioritize salary as a key factor in their job choices.

Gen Z prioritizes health benefits for several reasons. First, they place a strong emphasis on mental health awareness, seeking employers that offer support like counseling services and stress management programs. With many Gen Z individuals facing financial pressures, including student loan debt, benefits like financial wellness programs and student loan repayment assistance are particularly attractive. Additionally, they view health in a holistic manner, valuing both physical and mental well-being, and prefer employers that offer comprehensive benefits covering both. Having grown up during economic uncertainty and the COVID-19 pandemic, Gen Z values work-life balance and resilience, making flexible working hours and wellness programs crucial to maintaining their health. Finally, they are drawn to employers who demonstrate social responsibility and care for their employees, seeing robust health benefits as an indicator of empathy. Overall, Gen Z’s focus on health benefits reflects their commitment to well-being, financial security, and a balanced lifestyle.

While Gen Z plays a significant role in the decrease in the uninsured rate, other generations also contribute to this trend. In fact, 1 in 3 Americans would decline their dream job if it offered poor-quality benefits. This is driven largely because of the ongoing increase in healthcare costs. ?