Aging Population, High Prices Will Continue Fueling Rise In Health Care Spending Levels
Prescription drugs account for the fastest increase -- 6.3 percent a year on average -- due to the high cost of advanced medications.
The Associated Press:
Gov't Says Health Costs To Keep Growing Faster Than Economy
U.S. health care spending will keep growing faster than the overall economy in the foreseeable future, squeezing public insurance programs and employers who provide coverage, the government said Wednesday. Annual projections from number crunchers at the Department of Health and Human Services cite an aging population and an uptick in prices for health care services and goods as factors behind the ongoing growth in costs. (2/14)
The Hill:
US Spending On Health Care Estimated To Reach $5.7 Trillion In 2026
Health spending is expected to increase 5.5 percent annually through 2026, according to a report from the actuaries at the Department of Health and Human Services (HHS). That's 1 percentage point faster than economic growth projections. Overall, health spending is projected to make up 19.7 percent of the U.S. economy in 2026, up from 17.9 percent in 2016. In total, spending on health care in the U.S. is estimated to reach $5.7 trillion in 2026, about $2 trillion higher than this year. (Hellmann, 2/14)
The Washington Post:
U.S. Spending On Drugs Will Grow Faster Than On Other Health-Care Services Over The Next Decade
Prescription drug spending will grow faster than any other major medical good or service over the next decade, according to a projection from the Centers for Medicare and Medicaid Services. The analysis, published in the journal Health Affairs, estimates that by 2026, national health spending will climb to $5.7 trillion, or nearly a fifth of the economy. Prescription drug spending is forecast to grow at 6.3 percent per year, on average, between 2017 to 2026. (Johnson, 2/14)
Los Angeles Times:
U.S. Healthcare Tab To Keep Rising, Led By Higher Costs For Drugs And Services, Government Report Says
"High and rising costs expose two often overlooked problems," Harvard economist David Cutler noted in an article accompanying the new spending projections, published in the journal Health Affairs. "First, spending is too high because many dollars are wasted. … Second, high medical costs combined with stagnant incomes for a large share of the population and the inability of governments at all levels to raise tax dollars leads to increased health and economic disparities," Cutler wrote. (Levey, 2/14)
Bloomberg:
Health Prices To Outpace Inflation For First Time Since 2010
Health spending is determined by the price of goods and services, as well as how much health care people use. In recent years, increases in health spending have been driven by volume, as millions more people gained insurance coverage under the Affordable Care Act. While high-cost drugs have made headlines, overall price hikes have been historically low, increasing by an average of 1.1 percent annually between 2014 and 2016. (Levingston and Tozzi, 2/14)
The Associated Press:
A Surprise No One Wants: Big Medical Bill Even With Coverage
This winter’s nasty flu season may smack patients with a financial side effect: surprise medical bills. People who wind up in the emergency room or need an ambulance can be blindsided by hefty, unexpected charges. This often happens after patients visit a doctor or hospital outside their insurance network so coverage was limited. Insurance deductibles that reset every January and must be paid before coverage begins can make these invoices even more painful. Here’s a look at the issue and some tips for dealing with surprises. (Murphy, 2/14)
