ibusinesslines.com
ibusinesslines.com July 17, 2018


US Healthcare Spending Hit $3.3T in 2016

08 December 2017, 03:29 | Melissa Porter

US Healthcare Spending Hit $3.3T in 2016

US Healthcare Spending Hit $3.3T in 2016

Authors of the CMS report said spending growth slowed previous year for all three major categories of medical goods and services - hospitals, physician/clinical services and retail prescription drugs - for the first time since 2010. Hospital care expenditure growth slowed from 5.7% in 2015 to 4.7% in 2016.

Health spending increased 4.3 percent to $3.3 trillion compared to a 5.8 percent growth rate in 2015, according to a report by the Centers for Medicare and Medicaid Services (CMS), which administers the government's health programs.

Roughly 10.2 million people gained Medicaid coverage in 2014 and 2015 combined, and 8.7 million people gained private health insurance, taking the insured percentage of the population from 86 percent in 2013 to almost 91 percent in 2015.

In an online report and a media conference call, CMS attributed faster spending growth in 2014 and 2015 to the implementation of the federal Affordable Care Act and its related Medicaid expansion, which together extended health insurance to almost 19 million people. Medicaid spending also decelerated in growth compared to previous years, increasing 3.9% to $565.5 billion. The deceleration was largely driven by slower enrollment growth in 2016 after two years of faster enrollment growth due to ACA coverage expansion. As with SNFs, the home health industry saw declines in payments from Medicaid, private health insurers, and patients' own pockets. Medicaid and private health insurance spending growth slowed, mainly as the result of ACA enrollments in 2014 and 2015.


Among goods and services, retail prescription drugs saw the lowest growth rate, with physician and clinical services, which make up 20% of overall health spend, up 5.4% and hospital spending up 4.7%, making it 32% of all healthcare spending.

During 2015, US health care spending was 17.7% of gross domestic product. Spending growth for clinical services (8.2%) outpaced growth in spending for physician services (4.6%) for the twelfth consecutive year. Medicaid spending in 2014 grew 11.5%, and 9.5% in 2015.

In 2014 and 2015, spending increased 5.1% and 5.8%, respectively, as the Affordable Care Act expanded health insurance coverage through Marketplace plans and Medicaid. CMS said that a downturn in enrollment growth, as well as lower retail prescription drug spending. The slowing was driven by fewer new drugs being introduced and less spending on pricey treatments for hepatitis C. Major payersPrivate health insurance rose 5.1% to $1.1 trillion, slower than 6.9% growth in 2015. Despite large fluctuations in growth rates over the past several years, the 10% share of national health spending is similar to the share in 2009.

Medicare, a federal program providing insurance coverage for senior citizens, grew by 3.6% in 2016, roughly a one percent decrease compared to the previous two years (4.9% in 2014 and 4.8% in 2015).



Other News

Trending Now

Atlanta News Anchor Classily Claps Back At Racist Comments On-Air
I didn't say white people couldn't talk about race, on the contrary, we think race is an authentic discussion to have... Atlanta has had black mayors since the 1970s. "And then there is the belief that you have to keep it real".

Facebook targets pre-teens with chat app
So, parents can get full access on Facebook, while their children can befriend them on Messenger Kids and even play together. Once the parent has authenticated it with their own account , they set up a mini-profile with their kid's name and photo.

In Picture: First poster of Rohit Shetty's 'Simmba' with Ranveer Singh
Today, indeed, is a very good day for those in love with Bollywood masala movies and Ranveer Singh fans, of course. It is likely that the actor-director duo will set our scenes on fires with their energy and full-of-life personas.

Russian Federation just declared the defeat of ISIS in eastern Syria
Those strikes have helped Assad regain control over much of war-ravaged Syria. The Syrian conflict began in 2011 and over 340,000 people have been killed.

Starbucks's Super Limited Time Christmas Tree Frappucino Is Here!
Instagram and Twitter have already been flooded with images and reviews of the limited drink since it hit stores this morning. This writer drove to two Starbucks early hoping she could convince a kind barista to make her one before the official launch.

Yahoo and Mozilla are suing each other over messy search engine deal
As early as January 2015, Mozilla began discussions with Yahoo on the shortcomings of the quality of the search product. Mozilla was given a contractual right to terminate the agreement, if Yahoo was found unacceptable for some reason.

Arizona Rep. Trent Franks is resigning from Congress
He sought to clarify the comment, saying later-term abortions linked to pregnancies caused by rape are infrequent. Frank's 8th District in Arizona backed President Donald Trump by 21 points in 2016.