A recently released report from Deloitte reveals that women in the United States are spending billions more annually on healthcare compared to men. The study, conducted over 19 years and involving 16 million US adults covered by company-sponsored health insurance plans, exposes significant gender disparities in healthcare spending.
According to the report, women in the US are shelling out up to $15.4 billion more than men for out-of-pocket medical expenses, including copayments and deductibles. This staggering gender gap exists despite women and men paying identical prices for insurance premiums. The report also uncovers that women use their health insurance 10% more than men, while insurance companies consistently provide less coverage for services used by women compared to those used by men.
The report, titled “Women, Power, and Cancer,” highlights the financial challenges women face due to the gender wage gap. It draws attention to the pervasive issue known as “the pink tax,” which refers to women paying inflated costs for products and services compared to men. This extends to personal care products, laxatives, clothing, and even health insurance.
The Deloitte report identifies various factors contributing to this financial burden on women. These factors include frequent gynaecological appointments, the treatment and management of menopause, girls being recommended earlier age checkups compared to boys, and the higher costs associated with specific cancer screenings, such as breast cancer imaging.
The report’s primary categories of spending for women, excluding maternity, encompass radiology, laboratory services, mental health, and emergency room visits. It concludes that women consistently derive lesser value for each healthcare premium dollar spent, with female employees under single coverage spending approximately $266 more out of pocket per year than their male counterparts. This difference excludes pregnancy-related services.
The financial strain on women can negatively impact their health. Dr. Kulleni Gebreyes, US Chief Health Equity Officer and Life Sciences and Healthcare Sector Leader for Deloitte, warns that financial stressors can lead to health problems and delayed care, creating a cycle of preventable healthcare consumption and compounding expenses.
Dr. Gebreyes emphasizes the opportunity for leaders in business, healthcare, and society to make intentional efforts to bridge this gap. The report recommends that companies evaluate and redesign their healthcare benefits to achieve balance. Deloitte is actively developing collaborations and tools to address disparities in health drivers, racism, bias, and structural flaws in the healthcare system.
Australia also faces similar gender-based healthcare spending disparities. A 2022 report by the Grattan Institute revealed that younger Australian women spend more on healthcare than men their age due to factors such as maternal healthcare costs and higher rates of chronic conditions. Women are twice as likely as men to forgo care due to cost, including appointments with general practitioners, specialists, and obtaining prescriptions.
A report by the Australian Institute of Health and Welfare found that women experience a greater share of the total burden from some disease groups compared to men. These include reproductive and maternal conditions, blood and metabolic disorders like iron-deficiency anaemia, neurological conditions, and musculoskeletal conditions.
The financial impact extends to various healthcare needs for women in Australia, including contraception, pregnancy and reproductive health, menstrual needs, and menopause treatment. Costs range from oral contraception to fertility care and managing menopause symptoms. In some cases, such as endometriosis diagnosis and treatment, women can incur significant expenses.
The report underscores the need for awareness and action to address gender disparities in healthcare spending, both in the US and Australia, and to work toward achieving equitable access to healthcare for all.
