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Out-of-Pocket Health Expenditures Associated with Chronic Health Conditions and Disability in China
Jingyi Gao1, Hoolda Kim2, Sophie Mitra1
1Department of Economics, Fordham University, Bronx, NY 10458, USA.
Older adults in China with chronic health conditions and disabilities face significantly higher medical out-of-pocket expenditures (OOPEs). These costs highlight the need for better financial protection and insurance coverage for vulnerable populations.
Area of Science:
- Health Economics
- Gerontology
- Public Health Policy
Background:
- Chronic health conditions and disabilities significantly impact individuals' financial well-being.
- Understanding the extra costs associated with these conditions is crucial for effective policy development in China.
- Previous research has often examined chronic conditions and disabilities separately, leaving a gap in understanding their combined effect on healthcare expenditures.
Purpose of the Study:
- To estimate the additional living costs incurred by older adults in China due to chronic health conditions and disabilities.
- To analyze the correlation between medical out-of-pocket expenditures (OOPEs) and the presence of chronic health conditions and disabilities.
Main Methods:
- Utilized data from the 2018 China Health and Retirement Longitudinal Study (CHARLS).
- Included 13,530 respondents aged 50 and over.
- Employed ordinary least squares linear regression and logistic models to assess the relationship between OOPEs, chronic conditions, and limitations in Activities of Daily Living (ADL) and Instrumental Activities of Daily Living (IADL).
Main Results:
- Chronic health conditions, ADL limitations, and IADL limitations were consistently associated with increased OOPEs.
- Older adults with disabilities and chronic conditions had two to three times higher odds of incurring OOPEs compared to those without.
- Individuals experiencing both disabilities and chronic conditions reported the highest OOPEs.
Conclusions:
- Chronic health conditions and disabilities represent a substantial financial burden for older adults in China.
- There is a pressing need for enhanced policy interventions and further research to improve financial protection mechanisms.
- Expanding access to comprehensive health insurance coverage is recommended to mitigate the financial strain on this population.
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