Summary
Who is most vulnerable to financial stress from unexpected medical expenses? New research from the Employee Benefit Research Institute (EBRI) finds that unexpected medical costs are common and can create significant financial hardship for workers, even when they have health insurance coverage. The study examines how medical events affect workers across different age and income groups and explores the lasting financial impacts that often follow health-related expenses.
The findings show that many workers experience unexpected medical events that lead to financial difficulties, with the severity of those challenges varying by age and household income. Younger workers and lower-income households are more likely to experience substantial financial strain, while higher-income workers are more likely to avoid long-term financial disruption. However, financial stress associated with medical expenses is not limited to lower-income households, as many higher-income workers also report lasting impacts.
The research highlights the broader connection among health care costs, financial wellness, and economic security. As workers continue to face rising health care expenses and other household financial pressures, understanding the factors that contribute to medical expense stress can help employers, policymakers, and benefits professionals better support employee financial resilience.