Map shows states with the worst health care
Health care costs have been surging in the U.S., leading to some patients being unable to afford treatments, even if they have an insurance policy.
Not all states offer the same level of health care, however. According to a new report released by health care cost containment firm Phia Group, some states score lower when it comes to both health care quality and cost.
Why It Matters
The average price of health care in the United States grew by 2.6 percent from 2024 to 2025, according to inflation data from the U.S. Labor Department’s Bureau of Labor Statistics.
However, specific insurance coverage options and doctor and hospital quality can vary by location, with some states offering better options.
What To Know
Some states, including Minnesota, Hawaii and Montana, had the highest quality, most affordable health care, according to the report.
Some states likely perform better because of how they allocate their resources.
“States with strong primary care networks, preventive care programs, and better access to providers tend to see better health outcomes. It’s not just about how much is spent, but how efficiently that money is used,” Chris Fong, a Medicare expert and the CEO of Smile Insurance Group, told Newsweek.
However, Nevada, South Carolina and Texas saw some of the lowest rankings for cost and affordability. Patients in these states often saw aggressive billing rates and difficulty paying off their health care treatments.
The bottom 10 states:
- Nevada
- South Carolina
- Texas
- New Mexico
- Florida
- West Virginia
- Kentucky
- Mississippi
- Colorado
- Arizona
The top 10 states:
- Minnesota
- Hawaii
- Montana
- South Dakota
- Oregon
- Iowa
- Utah
- Rhode Island
- New York
- Maine
ROBYN BECK/AFP via Getty Images
What People Are Saying
Adam V. Russo, co-founder and chief executive officer of The Phia Group, in a statement: “When it comes to the cost of healthcare, there’s a terrible misconception that more expensive services correlate with better quality and more optimal outcomes. There may be such a correlation between cost and quality with cars and electronic products, but that is far from the case in healthcare. The reason for this is that unlike every other aspect of our economy, healthcare isn’t driven by consumerism. People actually have no idea what anything actually costs as it relates to medical treatment.”
Chris Fong, a Medicare expert and the CEO of Smile Insurance Group, told Newsweek: “It’s striking to see states that spend a significant amount on healthcare but still struggle with poor outcomes. For example, states like Mississippi and West Virginia have high healthcare costs yet rank lower in overall health measures. On the flip side, states like Massachusetts and Minnesota manage to achieve strong health outcomes without necessarily having the highest spending.”
Kevin Thompson, a finance expert and the founder and CEO of 9i Capital Group, told Newsweek: “It’s not surprising to see that many of the states ranking in the bottom 10 are also those receiving higher per capita government subsidies. Texas is a prime example—despite its reputation for lower regulations and a business-friendly environment, healthcare costs remain high, and price transparency is lacking.”
Ray Kober, CEO of healthcare consultant group Benefixa and host of the Broken Healthcare podcast, told Newsweek: “The Phia Group’s report underscores a reality we see time and time again—cost does not equate to quality in healthcare. It’s no surprise that states like Minnesota and Hawaii rank at the top, as they’ve invested in preventive care and provider accountability, whereas states at the bottom often struggle with more aggressive billing and fragmented care delivery. What’s most concerning is how little consumers understand the correlation between cost and quality. Until people start shopping for healthcare the way they do for cars or electronics—by comparing price and performance—this disconnect will continue to fuel unnecessary spending and subpar outcomes.”
What Happens Next
Shopping for the right coverage is key, according to Thompson.
“The takeaway from these findings should be that consumers have the right to price shop for medical care,” he said. “But I fear this message will fall on deaf ears. Many states will continue business as usual, leaving people frustrated, confused and struggling to find clear answers.”
