News Headlines Article

Employer-sponsored healthcare spending reaches record high
Modern Healthcare

Healthcare spending has outpaced gross domestic product growth over the last five years, reaching an all-time high in 2017, according to a new report.

Put simply, it’s the prices, according to the Health Care Cost Institute’s annual breakdown of the cost and utilization of services for those with employer-sponsored plans published Tuesday.

People are essentially paying more for the same amount of care. Despite utilization remaining relatively flat, spending grew, albeit at a slower rate from 2016 to 2017. Average usage across all sectors only grew 0.5% from 2016 to 2017 but spending rose 4.2% while prices jumped 3.6%. Spending per person grew 4.6% from 2015 to 2016.