1. The Cost of Individual Health Insurance Thomas Wildsmith, FSA, MAAA Policy Research Actuary July 9, 2002

2. Individual Insurance is Not Just for the Rich Source: HIAA analysis of 2001 Census Bureau data.

3. HIAA Survey Data • 12 Member Companies • 1,114,567 Insurance Policies • Approximately 2,000,000 Insured Individuals

4. People of All Ages Buy Individual Insurance Source: HIAA survey of member companies.

5. Individual Health Insurance Can be Affordable Source: HIAA survey of member companies.

6. Individual Health Insurance Can be Affordable Source: HIAA survey of member companies.

7. Tax Credits Can Make a Big Difference Source: HIAA survey of member companies.

8. Tax Credits Can Make A Big Difference Source: Analysis based on HIAA survey of member companies.

9. Tax Credits Can Make A Big Difference Source: Analysis based on HIAA survey of member companies.

10. Tax Credits Can Make a Big Difference Source: Analysis based on HIAA survey of member companies.

11. Tax Credits Can Make a Big Difference Source: Analysis based on HIAA survey of member companies.

12. Tax Credits Can Make a Big Difference Source: Analysis based on HIAA survey of member companies.

13. Many Poor Have Individual Coverage;Many More are Uninsured Source: HIAA analysis of 2001 EBRI data.

14. Lessons from Uninsured Research • Coverage matters – it affects access to care and health outcomes • Primary barrier to coverage is cost

15. Credits Address the Cost Barrier • Reduce the cost burden on the low-income • Help those with coverage to upgrade it • Help those without coverage to buy it