September 10, 2009 12:30 PM

Census: Ranks of Poor, Uninsured Grows

By
CBSNews
(AP)  The number of Americans without health insurance rose to 46.3 million last year as people began losing jobs and coverage in the current recession. The poverty rate hit 13.2 percent, an 11-year high.

The Census Bureau's annual report released Thursday offers a snapshot of the economic well-being of American households for 2008, the first full year of the recession. It comes as Congress engages in its high-stakes debate over health care overhaul, following a Wednesday night by President Barack Obama to pass sweeping legislation.

The numbers for 2008 do not capture the economic impact in the first half of 2009 as hundreds of thousands of Americans lost their jobs and likely their health insurance. Speaking at the White House, Mr. Obama acknowledged that the number of those without coverage may be higher than the Census figures.

"The situation's grown worse over the last 12 months," he said. "Its estimated that the ranks of the uninsured have swelled by at least 6 million."

CBSNews.com Special Report: Health Care

The figures show about 46.3 million people were uninsured last year. That's higher than the 45.7 million in 2007, due to the steady erosion of employer-provided health insurance. Still, the level remained just below the peak of 47 million who were uninsured in 2006, because of the growth of government insurance programs such as Medicaid for the poor.

The percentage of Americans without health coverage rose to 15.4 percent, which is not statistically different from 15.3 percent in 2007.

The nation's poverty rate increased to 13.2 percent, up from the 12.5 percent in 2007. That meant there were 39.8 million, or nearly 1 in 7 people, living in poverty in 2008, an increase of about 2.5 million from the previous year. It was the highest level since 1997, when the rate stood at 13.3 percent.

The official poverty level is now $22,025 for a family of four, based on a calculation that includes only cash income before deductions for taxes. It excludes capital gains or accumulated wealth; it also does not factor in noncash government aid such as food stamps or tax credits.

The median - or midpoint - household income declined to $50,303.

In terms of the uninsured, the Census data show employment-based health insurance declined from 177.4 million to 176.3 million, driving the overall decreases in insurance. In contrast, the number covered by government health insurance such as Medicaid and S-Chip climbed from 83.0 million to 87.4 million. Children, in particular, saw improvement, helped by recent expansions of government health insurance.

Among the findings:

• The number of uninsured children declined from 8.1 million, or 11.0 percent, in 2007, to 7.3 million, or 9.9 percent, in 2008. Both the rate and number of uninsured children are the lowest since 1987, the first year that comparable health insurance data were collected.

• The number of uninsured among whites increased to 10.8 percent, or 21.3 million, up from 10.4 percent, or 20.5 million, in 2007. Blacks, meanwhile, were not statistically different from 2007, at 19.1 percent and 7.3 million. The uninsured rate for Asians in 2008 rose to 17.6 percent, up from 16.8 percent.

• The percentage of uninsured Hispanics decreased to 30.7 percent in 2008, from 32.1 percent in 2007. The number of uninsured Hispanics was not statistically different in 2008, at 14.6 million.

• Divided by region, the uninsured were mostly likely to be found in the West (17.4 percent) and the South (18.2 percent). That is in contrast to 11.6 percent for the Northeast and the Midwest.

Analysts warned that the declines in the uninsured, although modest, were likely just the tip of the iceberg, given significantly higher unemployment rates seen in 2009. Based on current job losses, for instance, some researchers estimate the present-day number of uninsured is closer to 50 million, the number now used by the Congressional Budget Office.

Diane Rowland, executive vice president of the Kaiser Family Foundation, also noted the decreases in the percentage of people with employer-provided insurance in 2008 for the eighth year in a row. She cited the proliferation of small businesses, which typically decline to offer insurance because of rising premium costs, which could lead to additional declines in private insurance even if the economy improves.

Full CBSNews.com coverage of the president's speech on health care:

Obama Tells Congress to Stop Bickering
Full Video Full Transcript Speech Highlights
GOP Response: "It's Time to Start Over"
Marc Ambinder: Will Obama's Sales Job Work?
Mark Knoller: Obama Willing to Compromise - Up to a Point
Was Obama Clear on the Public Option?
Ted Kennedy's Letter to Obama
Rep. Wilson Swipes the Spotlight
Analysis: The Road Ahead for Health Care

AP
Add a Comment See all 26 Comments
by mjlewis6 September 10, 2009 4:13 PM EDT
I believe the Republican Party Platform has had a DEATH PANEL in its agenda since the 1930's against HEALTHCARE FOR AMERICANS...and the only group for which socialized medicine was allowable and finally passed was....VETERANS HOSPITALS! DESPITE THE GREAT RECESSION...!

Gee, never mind the family, just make sure the VET that actually defended the country got some care....and keep the budget down. minimum.
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by actornaught September 10, 2009 4:03 PM EDT
by salmoc44 September 10, 2009 3:26 PM EDT

You have to wonder if the phrase "Trickle Down" grew out of an original, more accurate phrase "Pist On". Then the knee-slapping guffawing started...
Reply to this comment
by reveal5 September 10, 2009 3:21 PM EDT
The jig is up...The Republican party is conservative now more than ever. What do conservatives believe in...That they want poorer and uninsured and unemployed Americans to just die. It's a matter of principle for them.
Reply to this comment
by reveal5 September 10, 2009 3:08 PM EDT
anitaymoore, Obviously you are not a conservative. You don't seem to be a narcissist. You actually seem to have that whole "compassion" and "human decency" thing going for yourself. No wonder you are not a conservative, you actually care about people. You don't seem to want the uninsured to die. You don't seem to relish the thought that Americans are going without medical care and dying in America every day as a way to consider yourself superior. Yep, you aren't a conservative. You just don't fit the template of being cold, heartless, calculating, and cruel...definetely not a conservative. Good for you.
Reply to this comment
by anitaymoore September 10, 2009 3:01 PM EDT
All you right-wingers who think good health care should only be provided to those who have it offered through their employer or who can afford it...remember your views the next time you have a waiter/waitress/barista/bartender etc serve you something and then walk away and sneeze. These are hard-working people, doing an honest job and who most likely are not offered health insurance.

I'd rather go socialist than watch my friends who have lost their jobs due to this recession, who did have health insurance before....get sick and die because now they cannot afford private health insurance, or medical care...while working to support their families in jobs they never thought they would have to take with their hard-earned degrees.

This "big talking, empty suit" isn't going anywhere...get over it. Stop taking it so personally that the rest of the country out-voted you. He's working for change in this country that should have been started long ago...instead of hiding his head in the sand like good ole G.W. did.
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by curiously1 September 10, 2009 1:51 PM EDT
Isn't The Census Bureau an independant federal agency? If so, why are we questioning their report? Or are we saying the report is fabricated?
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by reveal5 September 10, 2009 2:03 PM EDT
curiously enough, the fringe thinks that anything that does not fit in with their delusion is somehow false information. Actually, that is the exact way it work for the deluded. They believe their delusion is real and any other information is unreal. I.E., the word delusional.
by tincup356 September 10, 2009 1:46 PM EDT
Why do people believe ANYTHING ,EITHER party tells us....they get all their figures from companies who pay them big lobby dollars ,,,,,ALL this health care bill is,,,,a massive lobby robbery scheme. The people will end up paying way too much for something that will prove to be worthless to them and a gold mine for the health care industry. Our government is full of greedy traitors who have harloted out their representation to the corporate world for personal gain,,,,,,,anyone who supports EITHER party supports the destruction of America's economy, and its middle class........it is time for the people to stand up and revolt,,,,,,enough is enough,,,they MUST be removed and held responsible for the massive lobby robbery they have been committing. This country belongs to the PEOPLE,,,NOT corporate America and the harlots at the wheel.
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by seafang September 10, 2009 1:38 PM EDT
How many of that 46.3 million own flat screen HD TV sets; how many are NOT Americans, but ARE illegal invaders of our country; how many are young people who are indestructible and don't want to buy health insurance.
My son's personal health insurance policy just bumped his monthly premium from $86 to $150; that's a 74.4% increase; no doubt to have me pay for all the deadbeats; who simply refuse to buy health insurance. I'll have whatever health insurance program Obama, and The Congress have for themselves. The only health bill needed should simply state; the public have the right to enrol in the Congressional health plan at the same rate.
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by reveal5 September 10, 2009 2:06 PM EDT
Congress people do not have a health plan. Congress people buy their individual coverage from a pool of insurers. Congress people individually buy their plans based on their needs and budgets from a variety of insurors. The exact thing that the President wants for the American people.
by doc_holliday76 September 10, 2009 11:51 AM EDT
"Analysts warned that the declines in the uninsured, although modest, were likely just the tip of the iceberg, given significantly higher unemployment rates seen in 2009. Based on current job losses, for instance, some researchers estimate the present-day number of uninsured is closer to 50 million, the number now used by the Congressional Budget Office."
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by cs4466:
"Enough obstructionist neocon CRAP. Time for reform, and the time is now."
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Yep.....enough of this miNOrity party obstructionist neocon crap, since the republican't party is just beholden to the campaign contributions by the for-profit health care industry, and will continue to fight any TRUE health care reform!
Reply to this comment
by cs4466 September 10, 2009 11:35 AM EDT
Enough obstructionist neocon CRAP. Time for reform, and the time is now.
Reply to this comment
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