Do You Know the Economic Burden of Health Disparities in the United States?
Health disparities in the United States are more extreme than most of us imagine. Moreover, the economic burden of these gaps in healthcare services is massive. According to a new study funded by the National Institutes of Health (NIH), the overall cost of these health disparities is challenging to comprehend. Recently, a diverse array of researchers came together to deliver the findings of this comprehensive research. Examining the results of this study reveals a healthcare system in need of balance.
Tarzana Treatment Centers (TTC) is at the center of this issue as a provider of integrated healthcare services for diverse populations. As a nonprofit with a mission, TTC provides equal-opportunity healthcare.
The Cost of Health Disparities in the USA
As the first attempt to estimate the total economic burden of health disparities for five racial and ethnic minority groups nationally and for all 50 states and the District of Columbia, the NIH study employs a health equality approach. The study establishes a standard by setting health benchmarks for all populations based on the Healthy People 2030 goals. Hence, such a standard applies to the nation and each state. Moreover, the criteria apply to all racial, ethnic, and education groups.
Furthermore, this is the first study to estimate the economic burden of health disparities by educational level. The idea is that such levels often are a marker of socioeconomic status. Beyond showing the healthcare system as unbalanced, the study also reveals that such a lack of balance affects everyone. Indeed, the cost to our country as a whole is staggering.
Funded by the National Institute on Minority Health and Health Disparities (NIMHD), part of the National Institutes of Health, the study reveals that 2018 racial and ethnic health disparities cost the U.S. economy $451 billion. Such a cost means a 41% increase from the previous estimate of $320 billion in 2014. Moreover, the total burden of education-related health disparities for persons with less than a college degree in 2018 equals $978 billion, about two times greater than the annual growth rate of the U.S. economy. Without the backbone of a decent education, the health of American citizens is shown to be in much greater danger.
Understanding the Impact of Health Disparities
According to NIMHD Director Eliseo J. Pérez-Stable, M.D., “The exorbitant cost of health disparities is diminishing U.S. economic potential. We have a clear call to action to address social and structural factors that negatively impact not only population health but also economic growth.”
As the study’s lead author, Thomas LaVeist, Ph.D., dean of Tulane University School of Public Health and Tropical Medicine, further expounds on this proposition. As he explains with precision, “While it surely will cost to address health inequities, there are also substantial costs associated with not addressing them. Health inequities is considered a social justice issue, but it is also an economic issue.”
Addressing the Economic Toll of Health Disparities
The NIH study reveals that uneven care and healthcare inequality has definitive consequences. Indeed, the financial burden of health disparities is not going away anytime soon. However, with a united focus, changes can happen. For example, “the researchers noted that the burden could be reduced if investments are made to address structural contributors to known inequities, including racism and socioeconomic inequalities.”
If you are facing the challenge of healthcare disparities, TTC could be the answer you need. Please contact us today to learn more by calling (888) 777-8655. By making that call, you are taking an important first step.