New Mexicans spend 6th-most nationally on health care

According to a new Wallethub report New Mexicans  spend the 6th highest amount in the nation on health care relative to their median incomes. This is not a surprise to anyone who follows either economic or health care policy issues in New Mexico. The State is both impoverished and facing a shortage of medical providers.

The methodology was as follows:

WalletHub analyzed the prices of five components, including the costs of doctor, dentist and optometrist visits, plus the prices of ibuprofen and lipitor, across the 50 states.

We summed up the individual costs of the components and adjusted the resulting figure to the median monthly income in each state, then used these results to rank-order our sample.

Despite having $61 billion sitting in state government accounts, neither the Legislature nor Gov. Lujan Grisham lifted a finger during the 2025 legislative session to address the health provider shortage (or its costs). They also did not return any of the State’s money to taxpayers. The State’s high Medicaid rates undoubtedly play a role in high provider costs.

As health policy expert Michael Cannon notes: “Medicaid increases the cost of private health care and insurance, crowds out private
health insurance and long-term care insurance, and discourages enrollees from climbing the economic ladder.” Check out the map below to see where New Mexico ranks relative to other state.