CHA News Article

Report Outlines Health Care Costs in the U.S.

The California HealthCare Foundation (CHCF) has released its California Health Care Almanac 2015 edition, titled Health Care Costs 101: Reaching a Spending Plateau? The almanac focuses on 2013 data and details how much is spent on health care in the U.S., which services are purchased and who pays. Key report findings include:

  • Health spending and the economy experienced similar growth rates, which resulted in health care’s share of the economy remaining stable at 17.4 percent.
  • Public health insurance was the predominant payer, accounting for 39 percent of health care spending, while private health insurance accounted for 33 percent.
  • Even prior to the Affordable Care Act expansion, Medicaid had the highest growth rate of all major payers, at 6.1 percent.
  • Households financed 28 percent of health spending through out-of-pocket costs, insurance premiums and payroll taxes.
  • Health spending is projected to increase at an average rate of 5.8 percent from 2014 to 2023, about two percentage points higher than recent growth rates.

Data include average annual growth rates in health spending; health spending as a share of the gross domestic product; health spending per capita; health insurance spending per enrollee; major programs as a share of the federal budget; health spending distribution, by category; factors contributing to per capita spending growth; health spending summary, by category; health spending distribution, by sponsor and by payer; payer mix, by service category; spending distribution by private insurance vs. out-of-pocket; spending distribution, Medicare vs. Medicaid; annual growth rates and projections; and more.The full report and a quick reference guide are available on the CHCF website.