Which Age Group Has the Highest Rate of Being Uninsured?

Twenty-somethings love to feel invincible. Maybe that’s why the group least likely to have health insurance is the one that thinks least about needing it: young adults. If you’re picturing a carefree 24-year-old swiping through life, you’re pretty much spot on. But here’s the twist—being uninsured isn’t just risky, it’s common. And it’s not the story you might expect.

Who Is Actually Most Uninsured? Surprising Numbers and What’s Behind Them

If you guessed that young adults are the poster children for being uninsured, give yourself a point. Over the last decade, people aged 18 to 34 consistently clock in as the most likely not to have health coverage. A 2024 report by the Australian Bureau of Statistics shows about 18% of Aussies in this age group lack private health insurance, compared to just 8% of the 65+ group. The same trend pops up in the UK, US, and much of Europe. In America, for example, the CDC reports that about 15% of 18–34-year-olds are uninsured, double the rate of those over 45.

So, why do young people skip insurance? Here’s where things get interesting. First, there’s the classic “I’m healthy, I’ll risk it” mentality, mixed with the reality of work that’s often gig-based or casual—think food delivery, hospitality, or creative industries without employer-provided coverage. Many only get private insurance when their partner or first ‘real’ job drags them in. Cost is a huge factor. For someone trying to live on city wages, that monthly premium can feel like a luxury they can’t touch. A Medibank survey in 2023 showed 65% of uninsured Australians under 30 skipped coverage to “save money for now.”

Older adults, on the other hand, are far more likely to be covered, either thanks to public health safety nets like Medicare or because they’re more worried about getting sick (not to mention mandatory private policies for older workers in some sectors). Parental coverage usually ends at 21 or 25, and a lot of young adults simply never sign up after that. Sound familiar to you or someone you know?

But it’s not all about age. Race, income, job status, and even location make a difference. Young people in rural or remote areas, for example, are more likely to go uninsured than their city-based peers. So are those juggling shifts and zero-hour contracts where benefits don’t exist. That said, age remains the strongest risk factor. It’s strange, but the healthiest among us take the wildest gambles with their health.

"Young adults are most likely to be uninsured, not because they're reckless, but because the system rarely meets them where they are,” says Dr. Lauren Carroll of the Grattan Institute.

A lot of policy experts are worried about this. Insurance only works if everyone’s in the pool, so when the youngest stay out, costs go up for everyone else.

Risks of Skipping Insurance: Why It Really Matters

Let’s break a myth: just because you haven’t needed a doctor lately doesn’t mean you’re safe. Young people show up in A&E (that’s Accident & Emergency) more than you’d guess. Broken arm skiing, a burst appendix, or a surprise car accident—these things don’t check your birthdate. Uninsured patients often get faced with massive bills they can’t pay, leading to debt or skimping on needed care. Even in countries with public safety nets, uninsured young adults might lack dental, mental health, or specialist coverage.

The big danger is not just bankruptcy. It’s what happens next. Studies from the University of Sydney point out that uninsured young adults are less likely to get early treatment for problems like asthma or depression, which means issues that are cheap to fix can get ten times worse and more expensive. Missing insurance also discourages preventative care—no one books a checkup if they know they’ll pay out of pocket. Hello, undetected health issues.

On top of that, there are social risks. Some jobs require proof of insurance, as do many international university programs and visa applications. Even dating apps in 2025 are rumored to let users display their coverage status—talk about benching yourself before the first date. If you want to work or travel abroad, lack of insurance slams shut more doors than you’d think.

• You might lose out on work or study opportunities overseas.
• You may face longer wait times for non-urgent surgeries or specialist care.
• Out-of-pocket costs can surge, especially for dental, prescription drugs, or mental health support.
• Future insurance policies can end up more expensive if you sign up later (age loading is a thing!).

Younger isn’t always cheaper. In the UK and Australia, for example, Lifetime Health Cover loading means that if you don’t take out private hospital cover before your 31st birthday, you pay higher premiums later. “A decision to save a few dollars now can haunt your bank account for decades,” warns Dr. Michael Bond, policy analyst at the Australian Institute of Health and Welfare.

Another angle? Social security can lag behind. Some mental health services or therapies, especially new ones popping up via online consultations or apps, are only partially subsidised—or not at all.

How to Avoid Going Uninsured: Smart Moves for Every Age

So, how do you dodge the trap of being uninsured? First and foremost, consider timing. If you’re still in school or training, see if you can remain on your parents’ plan a little longer. Many Aussie and UK insurers have ‘gap year’ or youth policies with reduced rates up to age 25. Those in gig economy jobs: check if your agency or platform offers any group coverage or discount rate—it’s more common than you’d think in 2025.

If cost is the main thing holding you back, play the comparison game. Sites like iSelect in Australia, or the UK's NHS Choices, make hunting for affordable coverage less painful. Always check if you qualify for any government subsidy. In Australia, public hospital care is free, but extras like dental and physio usually aren’t. In the States, check if you can get on your state’s Medicaid plan or marketplace specials—most young adults don’t realise how many options pop up each year.

• Ask your HR department—many employers now offer opt-in health extras, even for casual workers.
• Look for student-group insurance, especially during transitions (university, apprenticeships, or study abroad).
• If you lose your job, COBRA (in the US) or similar short-term plans can prevent insurance “gaps.”
• Set calendar reminders for your 25th and 30th birthdays—these are common age cutoffs when coverage changes.
• Get in on wellness programs. Some plans discount your premiums if you document gym visits or healthy habits through an app.

Another tip: don’t forget to factor in what coverage you actually need. It’s easy to grab the cheapest plan, but does it cover mental health, injuries, or overseas travel? Young adults are the most likely to go hiking, drive long distances, or work in risky jobs—don’t skip ambulance cover if you’re in a region that charges for it.

For those struggling financially, many universities and workplaces now offer hardship funds that can help cover premiums. The trick is asking—most don’t know what’s available until it’s too late.

All in all, being uninsured as a young adult is super common, but it never needs to be a permanent state. Finding even basic cover can smooth out life’s rougher moments, protect your budget, and open up more job or study options. Double-check policy start dates—companies love to slip in waiting periods for major surgeries or dental. And always read the fine print, especially on accident versus illness exclusions.

Young people are smart about taking risks—just not when it comes to health insurance. Getting covered, even at a basic level, isn’t about being scared. It’s about taking one thing off that long list of adulting stress. The future-you will thank you (even if present-you can’t imagine ever needing a hospital bed).