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Study: Structural changes account for majority of slower spending

May 17, 2013

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U.S. health care spending growth slowed by more than $500 billion between 2003 and 2012, largely due to a host of structural changes, says a study published in the May issue of Health Affairs. The study attributes 37% of the spending slowdown to the 2007-2009 recession, 5% to Medicare policy changes, 3% to a decline in private insurance coverage and 55% to “a host of structural changes,” including slower spending for prescription drugs and advanced medical imaging, increased patient cost sharing and greater efficiency by health care providers.

“If these trends continue during 2013-22, public-sector health care spending will be as much as $770 billion less than predicted,” the authors conclude.

The May issue of the journal examines the recent slowing in growth of health care expenditures and proposals for putting the Medicare program on a more sustainable path. For more, click on:
http://tinyurl.com/bo7zzop.