Massachusetts nears universal health insurance coverage

BOSTON—More than two years after Massachusetts passed groundbreaking legislation to move the state closer to universal health insurance coverage, the Bay State has achieved that milestone, according to a survey released last week.

Some 97.4% of Massachusetts residents now have health insurance, by far the highest coverage rate of any state.

In 2007, according to the U.S. Census Bureau, just under 95% of the state's residents had coverage.

State officials hailed the findings, which are based on a survey conducted between June and August by the Urban Institute, a Washington-based research organization.

"Massachusetts has succeeded in covering the uninsured at an amazing rate. Massachusetts now has both the lowest rate of (uninsured residents) in the country and a rate that is less than half of the next-lowest state….This is a remarkable achievement," Secretary of Health and Human Services Dr. JudyAnn Bigby said in a statement.

In 2007, Hawaii had the second-lowest uninsured rate with 7.5% of the population lacking health insurance, according to the Census Bureau.

Several provisions in Massachusetts' 2006 reform law have been key in increasing coverage, experts say, including state premium subsidies for the low-income uninsured, imposing financial penalties of more than $900 a year on those who are not covered under a health plan and a $295-per-employee assessment on employers who do not offer coverage.

Coverage tied to income

The report found that of those with health insurance coverage, 68% received coverage from employers, while 17% obtained coverage from public or other programs, while 15% of the insured population—chiefly those age 65 and older—had coverage through Medicare.

Even though Massachusetts subsidizes health insurance premium for eligible low-income uninsured residents, insurance coverage was directly related to income, according to the survey.

For example, 5.4% of residents with incomes less than 150% of the federal poverty were uninsured, while 5.1% of those with annual incomes between 150% and 299% of the federal poverty level were uninsured.

By contrast, just 1.9% of those with incomes between 300% and 499% of the federal poverty level were uninsured, while 0.3% of those with incomes at least 500% of the federal poverty level lacked coverage.

The survey is based on responses from 4,910 households in Massachusetts.