While Governor Pawlenty continues to propose drastic cuts to health care, a study by the Center for American Progress Action Fund found that because of our broken health care system, American families are paying on average 8% more in health care premiums (about $ 1,100 a year).
This is because health care providers "shift" the costs for health care from the uninsured who cannot afford to pay to those who can–raising health care premiums for individuals and families who can (sometimes barely) afford coverage. This cost-shift is a hidden tax resulting from our failure to provide coverage for all Americans.
In Minnesota, the cost-shift markup on an average individual health care plan is $ 150 and about $ 400 for families–amounting to a 3% markup on health care premiums.
Read the full report here.