GlobalData report highlights staggering economic costs for Illinois of $17.6 billion due to obesity
06 Marzo 2024 - 6:00AM
Business Wire
Obesity and overweight are estimated to have caused a staggering
$17.6 billion reduction in Illinois’ economy in 2022, equivalent to
1.7% of the state's gross domestic product, according to a report
released by GlobalData Plc, a leading data and analytics
company.
GlobalData’s report, ‘Obesity’s Impact on Illinois' Economy and
Labor Force,’ analyzes the economic and workforce implications of
obesity in the State of Illinois, as well as the impact on state
tax revenue collections and costs. Obesity is a serious,
progressive disease and is associated with a range of other
diseases, including type 2 diabetes, cardiovascular diseases, and
musculoskeletal disorders. In Illinois, approximately one-third of
adults are classified as having obesity (33.4%), and another third
have overweight (33.9%) in 2022. This disease not only contributes
to an increase in healthcare spending and premature death but also
has a detrimental effect on labor force participation and
productivity.
Estimates of the economic impact of obesity on Illinois include:
145,900 fewer adults in the workforce due to obesity-related
unemployment and premature death, nearly $1.6 billion higher costs
to employers for health-related absenteeism and disability, and 9%
lower earnings for women with obesity compared to women with a
healthy weight.
Employers in Illinois paid an extra $2.1 billion in higher
medical expenditures for health complications attributed to obesity
and overweight. Households with private insurance incurred $1.2
billion in higher costs. Medicaid costs to the state were higher by
$661 million (equivalent to 6.7% of the state's Medicaid spending).
The federal government also spent an estimated $3.7 billion more on
Medicare and Medicaid for Illinois residents.
Obesity and overweight have a detrimental impact on the state's
budget, estimated at $2.4 billion in 2022 which is equivalent to
3.6% of fiscal year revenues. State tax revenues were lower by
nearly $1.4 billion (2.1%) due to reduced economic activity, while
state costs for Medicaid, public assistance, and state government
health insurance increased by over $1 billion.
The report also notes that achieving and maintaining weight loss
of 5% to 25% among Illinois’ non-Medicare adult population with
obesity could produce substantial medical savings, ranging from $7
billion to $22 billion over the next 10 years.
“Addressing the staggering economic burden of obesity in
Illinois requires a concerted effort to ensure access to the best
care including effective treatment options for obesity,” says
Justin Ryder, an Associate Professor at Northwestern University’s
Feinberg School of Medicine and the Vice Chair of Research in the
Department of Surgery at Lurie Children’s Hospital of Chicago.
“With the high prevalence of obesity, we are witnessing not only a
significant strain on healthcare systems but also profound impacts
on individuals' quality of life, productivity, and overall
wellbeing. By prioritizing access to comprehensive obesity care, we
can mitigate these economic challenges while promoting healthier
communities.”
Considering the analysis, GlobalData has recommended actionable
steps for state policymakers and employers:
State policymakers can (1) finalize, expand, and maintain access
to Medicaid coverage for obesity treatment; (2) maintain insurance
coverage for comprehensive, evidence-based obesity treatments,
including intensive behavioral counseling, nutrition support,
pharmacotherapy, and metabolic/bariatric surgery for employees and
dependents covered under the State Employees Group Insurance
Program; and (3) invest in community-based programs and education
campaigns.
Employers can (1) offer insurance coverage and wellness programs
for obesity care at parity with other chronic diseases; (2) foster
a culture of support and inclusion that recognizes and accommodates
the needs of employees with obesity; and (3) provide education and
resources to employees to educate them about the health risks
associated with obesity as well as strategies for obesity care and
weight management.
GlobalData's report serves as a wakeup call to address the
obesity crisis head-on, with the potential to alleviate the
economic burden on Illinois and foster a healthier and more
prosperous future for its residents and employers.
The study was supported by Eli Lilly and Company.
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Notes to Editors
- Quote provided by Justin Ryder, Ph.D, Vice Chair of Research
for the Department of Surgery at Lurie Children's Hospital and
Associate Professor of Surgery and Pediatrics at Northwestern
Feinberg School of Medicine
- Access the report and infographic.
- When incorporating images or videos into news articles, we
kindly request that media outlets exercise sensitivity in their
portrayal of individuals with obesity. The Obesity Action
Coalition’s Stop Obesity Weight Bias Campaign includes media
guidelines and bias-free image gallery.
About GlobalData
4,000 of the world’s largest companies, including over 70% of
FTSE 100 and 60% of Fortune 100 companies, make more timely and
better business decisions thanks to GlobalData’s unique data,
expert analysis and innovative solutions, all in one platform.
GlobalData’s mission is to help our clients decode the future to be
more successful and innovative across a range of industries,
including the healthcare, consumer, retail, financial, technology
and professional services sectors.
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