In the past 12 months, Americans age 65 and older have pulled about $22 billion from their long-term savings accounts to cover healthcare bills, according to a recent Gallup blog post.
The blog post cites data from a recent West Health and Gallup report, "The U.S. Healthcare Cost Crisis," which examined how the public views the U.S. healthcare system, people's healthcare choices, and the effects healthcare costs have on personal finances. The poll, conducted in January and February, had a nationally representative survey of 3,537 American adults.
When it comes to healthcare costs for seniors, prescription drugs represent a large barrier. Medicare expects prescription drug spending to grow to $116 billion in 2019, according to CMS.
According to Gallup, withdrawing savings to pay for healthcare costs can be "problematic for younger Americans, but for seniors, the impact can be severe. Many seniors are living off long-term savings, so this can put their day-to-day solvency at risk."
For the full blog post, click here.