Income, Poverty and Health Insurance Coverage in the US: 1999 to 2009

WASHINGTON, September 20, 2010 - The U.S. Census Bureau announced today that real median household income in the United States in 2009 was $49,777, not statistically different from the 2008 median.

The Bush years were very hard on the middle class, who lost ground in income, poverty increased, millions lost their health insurance coverage and middle class standard of living declined.

The nation's official poverty rate in 2009 was 14.3 percent, up from 13.2 percent in 2008 — the second statistically significant annual increase in the poverty rate since 2004. There were 43.6 million people in poverty in 2009, up from 39.8 million in 2008 — the third consecutive annual increase.

Meanwhile, the number of people without health insurance coverage rose from 46.3 million in 2008 to 50.7 million in 2009, while the percentage increased from 15.4 percent to 16.7 percent over the same period.

These findings are contained in the report Income, Poverty, and Health Insurance Coverage in the United States: 2009. The following results for the nation were compiled from information collected in the 2010 Current Population Survey (CPS) Annual Social and Economic Supplement (ASEC):

The number of people with health insurance decreased from 255.1 million in 2008 to 253.6 million in 2009. Since 1987, the first year that comparable health insurance data were collected, this is the first year that the number of people with health insurance has decreased.
Between 2008 and 2009, the number of people covered by private health insurance decreased from 201.0 million to 194.5 million, while the number covered by government health insurance climbed from 87.4 million to 93.2 million. The number covered by employment-based health insurance declined from 176.3 million to 169.7 million. The number with Medicaid coverage increased from 42.6 million to 47.8 million.

Comparable health insurance data were first collected in 1987. The percentage of people covered by private insurance (63.9 percent) is the lowest since that year, as is the percentage of people covered by employment-based insurance (55.8 percent). In contrast, the percentage of people covered by government health insurance programs (30.6 percent) is the highest since 1987, as is the percentage covered by Medicaid (15.7 percent).

In 2009, 10.0 percent (7.5 million) of children under 18 were without health insurance. Neither estimate is significantly different from the corresponding 2008 estimate.
The uninsured rate for children in poverty (15.1 percent) was greater than the rate for all children.

In 2009, the uninsured rates decreased as household income increased: from 26.6 percent for those in households with annual incomes less than $25,000 to 9.1 percent in households with incomes of $75,000 or more.

The Northeast had the lowest uninsured rate in 2009. Between 2008 and 2009, the uninsured rates and number of uninsured increased in all four regions. (See Table C [PDF].)

The Census Bureau's statistical experts, with assistance from the Bureau of Labor Statistics and in consultation with the Office of Management and Budget, the Economics and Statistics Administration and other appropriate agencies and outside experts, are now developing a Supplemental Poverty Measure. The Supplemental Poverty Measure will provide an additional measure of economic well-being. It will not replace the official poverty measure and will not be used to determine eligibility for government programs. See Income, Poverty, and Health Insurance Coverage in the United States: 2009, for more information.

The Bush years were very hard on the middle class, who lost ground in income, poverty increased and millions lost their health insurance coverage.