According to the Kaiser Family Foundation, 6.7 million people or one in five Californians is without health insurance, the highest of any other state. Of this number, an alarming 1.1 million uninsured are children. During the past two decades, the number of uninsured people in California has risen as employer-sponsored health insurance has declined. Being uninsured is a significant barrier to accessing necessary and cost effective health care services, including preventive care and treatment for chronic conditions.
California hospitals provided $12.2 billion of uncompensated care in 2009. Included in those billions of dollars of unreimbursed care is the cost of caring for the uninsured and under-insured, and payment shortfalls stemming from the Medicare and Medi-Cal programs. This significant underfunding of the health care system is being “shifted” to privately insured Californians, private contributors and local governments. It is also putting California’s community hospitals at further financial risk.