Health Literacy Guide
Health Literacy in Healthcare: Why It Matters for Patient Outcomes, Safety, and Quality
Health literacy is the ability to find, understand, and use health information and services to make informed decisions about care. It is increasingly recognized as a key driver of patient safety, healthcare quality, and health equity. When information or healthcare systems are difficult to navigate, communication misunderstandings can affect safety, outcomes, and costs. Improving health literacy requires both clear communication and healthcare systems designed to support understanding.
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Key Takeaways
- Limited health literacy is common and affects patient safety, clinical outcomes, and healthcare costs.
- Nearly 9 in 10 U.S. adults struggle with health information in some situations, according to national research.
- Limited health literacy is associated with higher hospitalization rates, medication errors, and emergency department visits.
- Healthcare organizations can improve outcomes by simplifying communication and designing systems that support patient understanding.
What is health literacy?
Health literacy refers to how well people can find, understand, and use health information.
The Healthy People 2030 initiative describes two related concepts that explain how health literacy functions within healthcare systems.
Personal health literacy — the degree to which individuals can find, understand, and use information and services to inform health-related decisions.
Organizational health literacy — the degree to which healthcare organizations enable individuals to find, understand, and use information and services.
Health literacy reflects both individual skills and how healthcare systems design and deliver information.
When communication is rushed, materials are complex, or systems are difficult to navigate, misunderstanding becomes likely across all education levels.
What is the gap between what patients need and what the healthcare system delivers?
Many people struggle to navigate the modern healthcare environment. Patients frequently encounter:
- Complex medical terminology
- Long or difficult written materials
- Limited language services
- Confusing digital systems
- Time-constrained clinical visits
When information is delivered in ways that are difficult to understand or use, patients may leave visits unsure about what to do next. For millions of people in the United States, this is a common experience.
What does the data show about health literacy in the United States?
Research highlights the scale of the challenge.
40% of U.S. adults
Earn under 185% the Federal Poverty Level (FPL) and have lower health literacy.
The reflect differences in education, language access, digital skills, and complexity in the healthcare system. They also show why improving health literacy requires system-level solutions.
Research highlights the scale of the challenge.
How does health literacy matter for healthcare organizations?
Health literacy affects healthcare operations, patient safety, and financial performance across the healthcare system. Health literacy is not only a patient issue. It is also an operational, financial, and safety issue for healthcare organizations.
Misunderstandings can lead to:
Organizations that implement plain language practices can:
- Avoidable utilization
- Medication errors
- Lower adherence to treatment plans
- Missed preventive care
- Increased readmissions
- Reduced patient satisfaction
Research estimates that low health literacy contributes to between $106 billion and $238 billion in U.S. healthcare costs each year. Improving health literacy at the system level could also prevent nearly one million Medicare hospital visits annually. Clear communication and supportive systems help patients follow instructions more accurately and engage more effectively in their care.
Why is medication communication a high-risk area?
Medication use is one of the areas where health literacy and patient safety intersect most directly. When instructions are unclear or overly complex, patients are more likely to:
- Misinterpret dosing instructions
- Confuse medications with similar names
- Overlook warnings or side effects
What The Research Shows
46% of Adults
Misunderstand at least one common prescription label, particularly when health literacy is limited.
More than 8 in 10
Parents made at least one dosing error when given standard instructions.
These misunderstandings contribute to adverse drug events, emergency department visits, and avoidable hospitalizations. Because these risks are common and difficult to predict, many organizations adopt universal health literacy precautions, which assume that all patients may have difficulty understanding health information and emphasize clear communication for everyone.
How does health literacy affect health equity?
Health literacy challenges are closely connected to broader inequities within the healthcare system. Barriers to understanding and navigating care are more common among:
- People with limited English proficiency
- Individuals with lower income
- Racial and ethnic minority populations
- People with disabilities
- Older adults and caregivers
According to the National Assessment of Adult Literacy:
41%
Of Hispanic Adults had below-basic health literacy
24%
Of Black adults had below-basic health literacy
9%
Of White adults fell into the same category
These disparities often reflect structural barriers such as language access, digital exclusion, cultural misalignment, and historical mistrust. Improving health literacy helps reduce these barriers and supports more equitable access to care and information.
Why is health literacy one of the most overlooked healthcare quality metrics?
Health systems are increasingly focused on improving outcomes while reducing costs. Health literacy supports both goals, yet it remains underutilized as a quality improvement strategy.
In value-based care environments, patient understanding directly affects whether individuals can follow care recommendations, schedule preventive screenings, and manage chronic conditions. Many healthcare quality measures depend on patient comprehension and engagement.
What strategies improve health literacy in healthcare organizations?
Improving health literacy requires consistent system-level practices rather than relying solely on individual clinician effort. This can include embedding health literacy practices into:
- Staff training
- Onboarding programs
- Patient experience workflows
- Documentation standards
- Quality improvement initiatives
Evidence-based approaches focus on using plain language and routinely confirming understanding through methods such as teach-back, which improves comprehension and reduces readmissions. Strategies that support understanding include:
- Focusing on key messages
- Using visual aids
- Breaking information into manageable sections
- Having patients explain what they heard in their own words
These approaches are particularly important during high-risk moments such as medication counseling or hospital discharge. System-level integration ensures that clear communication becomes part of everyday care delivery.
What are examples of health literacy practices?
What are examples of health literacy practices? Health literacy in health often involves practical communication strategies that help patients understand and act on medical information. Examples include:
- Explaining medication instructions clearly
Instead of writing “administer bi-daily,” instructions use simple language such as “take this medicine twice a day.” - Confirming understanding using teach-back practices during clinical visits
Clinicians ask patients to explain instructions in their own words to confirm understanding. - Simplifying discharge instructions
Key steps are presented in short sections with clear actions, such as when to take medication, when to schedule follow-up care, and when to seek urgent help. - Using visual aids and translated materials
Providing diagrams, multilingual instructions, and interpreter services supports understanding for patients with different language and literacy needs.
These approaches reduce misunderstandings and support safer care.
How can health literacy strategies support equity?
Culturally and linguistically responsive interventions are particularly important for populations facing structural barriers to care. Effective strategies include:
- Providing translated materials
- Offering interpreter services
- Designing digital tools with accessibility in mind
- Incorporating culturally relevant examples and visuals
These practices help ensure that health information is accessible to diverse populations.
Why is health literacy a high-value healthcare strategy?
Health literacy helps healthcare organizations improve outcomes, reduce avoidable utilization, and strengthen patient experience. Health literacy supports safer care, stronger patient engagement, and more efficient healthcare delivery. Clear communication supports:
- Better patient understanding
- Fewer medical errors
- Stronger chronic disease management
- Improved care transitions
Health literacy helps healthcare organizations improve operational efficiency and reduce avoidable utilization. It also aligns with major quality and regulatory frameworks, including:
- CMS value-based purchasing programs
- CAHPS patient experience measures
- HEDIS quality metrics
- National Action Plan to Improve
- Health Literacy Healthy People 2030 goals
As healthcare systems focus on improving outcomes while reducing costs, health literacy has become an increasingly important strategy for advancing quality, safety, and equity.
The Bottom Line
Health literacy is the foundation of effective healthcare delivery.
When people can understand health information and services, they are more likely to follow care instructions, manage chronic conditions, and seek care at the right time. Healthcare organizations that design systems to support understanding improve patient safety, strengthen equity, and use resources more effectively.
Health literacy practices help transform communication into a reliable tool for improving outcomes across the healthcare system.
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