We estimated the economic burden of health disparities in the United States using three measures: (1) direct medical costs of health inequalities, (2) indirect costs of health inequalities, and (3) costs of premature death. Our analysis found: • Between 2003 and 2006 thecombined costs of health inequalitiesand premature death in the United States were $1.24 trillion. • Eliminating health disparities for minorities would havereduced direct medicalcareexpenditures by $229.4 billion for the years 2003-2006. • Between 2003 and 2006, 30.6% of direct medicalcareexpenditures for African Americans, Asians,and Hispanics were excess costs due to health inequalities. • Eliminating health inequalities for minorities would havereduced indirectcostsassociated with illnessand premature death by morethan onetrillion dollars between 2003 and 2006.