The average Canadian family will pay more than $21,000 for public health care this year, according to a new study from the Fraser Institute, which argues Canadians often underestimate the true cost of the country's publicly funded health-care system.

The report, The Price of Public Health Care Insurance, 2026, estimates that a typical family of four earning approximately $176,000 will contribute $21,115 toward public health care through taxes in 2026. Depending on household size and income, estimated annual costs range from $6,464 to $21,115 across six common Canadian family types.

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The study notes that many Canadians mistakenly believe health care is "free" because patients are not billed at the point of service. Instead, the costs are paid through a combination of federal, provincial and local taxes.

Fraser Institute researchers found that the cost of public health care has risen significantly faster than many other household expenses over the past three decades.

Between 1997 and 2026, the estimated cost of public health care insurance increased 2.3 times faster than food prices, 1.7 times faster than average family income, and 1.5 times faster than shelter costs, according to the report. The increase also outpaced clothing costs, which have declined over the same period.

The report also highlights how the tax burden varies by income. Families in the lowest 10 per cent of earners will contribute an average of $637 toward public health care in 2026. Families earning the average Canadian income of $88,572 are estimated to pay $8,644, while households in the top 10 per cent of income earners will contribute an average of $66,350.

The Fraser Institute says its estimates are intended to illustrate the amount Canadians collectively pay for universal health care through taxation, rather than through direct user fees, and argues greater transparency would help Canadians better understand the cost of the country's health-care system.