Healthcare costs a “major burden” for millions of adults

Healthcare costs a “major burden” for millions of adults
National survey reveals concerns around healthcare and drug expenses, with over half of adults predicting hardship for the next generation.
JUN 06, 2024

As the country faces a demographic cliff and questions hang over the sustainability of the Social Security system, a new Gallup poll offers a glimpse of how healthcare costs continue to pose significant financial challenges for American adults.

According to the 2024 Survey on Aging in America report, conducted by Gallup in partnership with West Health, approximately 49 million adults, including 7.5 million aged 65 and older, view healthcare costs as a "major burden" to their households.

A striking 46 percent of US adults express little to no confidence in their ability to afford healthcare as they age, with 33 percent of those already eligible for Medicare sharing that lack of confidence.

Additionally, nearly one-third (31 percent) of respondents are either "concerned" or "extremely concerned" about their ability to pay for prescription drugs in the coming year, marking a significant rise from 25 percent in a similar 2022 poll. For Americans aged 65 and older, the concern has grown even more dramatically, from 20 percent to 31 percent.

The report underscores the rising toll of healthcare, with 19 percent of Americans citing it as a major financial strain—up from 15 percent in 2022 and 23 percent in 2021. Among seniors, the percentage who view healthcare costs as a significant burden has risen to 13 percent, up from 9 percent in 2022.

"Nearly half of US adults are not confident that they can afford care as they age," the survey states, with 46 percent of respondents indicating they are "not very confident" or "not at all confident" in their financial ability to pay for healthcare in the future. While older respondents were more confident, a substantial 33 percent of those aged 65 and above still reported low confidence.

Concerns about healthcare costs, excluding prescription drugs, dominate worries about aging, with 86 percent of respondents sharing that worry including 42 percent who are "extremely concerned." That’s closely followed by anxiety over prescription drug expenses, weighing on the minds of 81 percent of respondents including 40 percent who were extremely concerned.

The survey also touched on US adults’ views on the financial prospects of future generations, revealing a pessimistic outlook.

When asked to make a forecast on the next generation's wealth and financial security in old age, 57 percent of all adults believe they will be worse off compared to their own generation. Seniors aged 65 and older were similarly gloomy, with 51 percent believing those next in line will be in worse financial shape.

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