Most Temp, Part-Time Workers Lack Job-Linked Health Insurance

THURSDAY, Dec. 1 (HealthDay News) -- Only 21 percent of the 34 million part-time, temporary and contract workers in the United States have health insurance through their employers, compared with 74 percent of regular, full-time workers, according to a new report released by the Commonwealth Fund.

About 24 percent of the nonstandard workers are uninsured, compared with 12 percent of standard workers. Nonstandard workers are 3.5 times more likely than standard workers to obtain insurance coverage from a spouse or other family member''s employer.

"A healthy workforce is vital to our economy, but far too many workers and their family members are shut out of our system of employer-sponsored health insurance, leaving them at risk for not getting needed health care," Commonwealth Fund President Karen Davis said in a prepared statement.

"With about one-quarter of the U.S. workforce in non-traditional work arrangements, we need new strategies for affordable, comprehensive benefits to cover this large sector," Davis said.

The Commonwealth Fund is a private foundation that supports independent research on health-care issues and provides grants to improve health-care practice and policy.

The report also found that:

• Nonstandard workers are much more likely to rely on government health insurance. Five percent of nonstandard workers are covered by Medicaid or Medicare, compared to one percent of standard workers.
• Among nonstandard workers, 41 percent reported being uninsured or uninsured at some point in the previous year.
• Eighteen percent of the children and 16 percent of the spouses of nonstandard workers are uninsured.

The report authors suggested policies to improve coverage for nonstandard workers:

• "Play or pay" employer mandates that require employers to either provide health insurance or pay into public health insurance systems. This has been proposed in several states and localities.
• Provide uninsured workers access to group insurance pools.
• Improve affordability of coverage by tying income-based tax credits with enrollment in a group insurance pool.

More information

The U.S. Centers for Medicare & Medicaid Services has more about employer or union group health insurance.

-- Robert Preidt

SOURCE: Commonwealth Fund news release, Dec. 1, 2005

Last Updated: Dec. 1, 2005