Staying Covered: How Immigrants Have Prolonged the Solvency of One of Medicare's Key Trust Funds and Subsidized Care for U.S. Seniors

Immigrants not only have paid into Medicare's Hospital Insurance (HI) Trust Fund at a higher level than they've drawn from it but also have contributed significantly to its solvency so as to benefit more Americans for a longer period of time.

This is the major finding of Staying Covered:  How Immigrants Have Prolonged the Solvency of One of Medicare's Key Trust Funds and Subsidized Care for U.S. Seniors. The report analyzes 1996 to 2011 data from the Current Population Survey and the Medicare Expenditure Panel Survey to show the impact immigrants have had on Medicare's HI Trust Fund, which covers hospital and home health care for 50 million senior and disabled Americans. This Fund is of particular importance given America's fast-aging population. The findings show that from 1996 to 2011, immigrants contributed $182.4 billion more to the Fund than was expended on their behalf while the U.S.-born population generated a deficit of $68.7 billion. Without immigrant contributions to the Fund it would reach insolvency faster disrupting the care of millions of Americans. Given that immigrants are more likely to be of working age, often migrate with the intent to work and have a higher rate of labor force participation, the author suggests that increasing the numbers of working-age immigrants would augur well for America's future wellbeing.

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