The Affordable Care Act (ACA) has significantly transformed access to health coverage in the United States, particularly for African American communities. However, key challenges remain in addressing racial disparities and ensuring equitable access to healthcare services. As a health insurance agent or agency, understanding these data points can help you identify opportunities to support your clients and boost enrollment in health plans.
Based on a report by the U.S. Department of Health and Human Services (HHS), this article highlights the progress, gaps, and actionable opportunities in health coverage for African Americans under ACA.
Significant Reduction in Uninsured Rates Among African Americans
Since the implementation of ACA, the number of uninsured African Americans under the age of 65 has decreased by 40%. According to the HHS report:
- In 2011, 7.1 million African Americans lacked insurance.
- By 2019, this figure dropped to 4.4 million.
This improvement is a clear indicator of ACA’s positive impact on health coverage for this population. As an insurance agent, these figures are essential for demonstrating to clients how ACA can make health insurance more accessible and affordable.
Racial Disparities in Coverage Persist
Despite progress, significant differences remain in insurance rates between African Americans and other racial groups. According to the report, cited by AARP:
- The uninsured rate for African Americans is 12%, compared to 9% for white Americans.
- African Americans report more barriers to accessing healthcare:
- 9% delay refilling prescriptions to save money (compared to 6% of white Americans).
- 18% are worried about medical bills (versus 11% of white Americans).
As an agent, these data points emphasize the importance of educating clients about resources available through ACA, such as subsidies and Medicaid options, to address these concerns and improve access to medical services.
Medicaid Expansion: A Key Solution
The HHS report, cited by AARP, highlights that states that have not expanded Medicaid have the highest rates of uninsured African Americans. Currently, 12 states have yet to adopt Medicaid expansion, including:
- Alabama
- Florida
- Georgia
- Mississippi
- Texas
More than a third (37%) of uninsured African Americans live in Florida, Georgia, and Texas. According to the report, if these states expanded Medicaid, 957,000 additional African Americans would become eligible for coverage.
As an insurance professional, this is a call to action to redouble efforts in these states, ensuring that people are aware of their current coverage options and the potential impact Medicaid expansion could have on their lives.
Opportunities for Health Insurance Agents and Agencies
1. Educate Clients About Subsidies and Affordable Plans
ACA provides income-based subsidies designed to make insurance more affordable. According to data from the HHS report, cited by AARP, many eligible African Americans remain unenrolled, either due to a lack of information or challenges navigating the enrollment process.
2. Focus on States With Coverage Gaps
In states that have not expanded Medicaid, such as Florida and Texas, agents have a unique opportunity to close informational gaps and increase enrollment in marketplace plans.
3. Address Financial and Access Barriers
Share strategies with clients to help them avoid delaying treatments or medications due to financial concerns. This includes explaining how ACA plans cover essential medications, consultations, and preventive services.
4. Build Trust Within Communities
Disparities in healthcare access often reflect a lack of trust in the healthcare system. Engaging with the community through educational events, local partnerships, and personalized communication can help you build strong, long-term relationships.
Other Groups With High Uninsured Rates
The report also indicates that other communities face similar challenges. According to data cited by AARP:
- American Indians and Alaska Natives (22%): They had the highest uninsured rate in 2019.
- Latinos (20%): They face significant barriers in accessing and affording healthcare services.
As an agent, broadening your efforts to include these communities can diversify your client base and help more individuals access the healthcare they need.
The progress made under ACA has significantly reduced uninsured rates among African Americans and other communities, but disparities persist. As a health insurance agent or agency, you are uniquely positioned to make a difference by educating, supporting, and enrolling more individuals in plans that can improve their access to healthcare.
Combining knowledge, empathy, and community outreach not only benefits your clients but also strengthens your reputation as a trusted professional in the health insurance sector.
Cited from: Dena Bunis, “ACA Has Led to More African Americans Getting Health Insurance” in AARP (February 25, 2022).
