A new study from Health Care Cost Institute has revealing findings about employer-sponsored insurance plans.
Spending grew across all areas of healthcare services from 2007 through 2016, according to a new report.
The study, published in Health Affairs, found that total spending per capita (not including premiums) on health services for enrollees in employer-sponsored insurance plans increased by 44% from 2007 through 2016 (average annual growth of 4.1%).
Using a national sample of healthcare claims data from the Health Care Cost Institute (HCCI), Amanda Frost, PhD, Health Care Cost Institute senior researcher, and colleagues found that annual growth in per capita spending on healthcare for the employer-sponsored insurance (ESI) population slowed following the recession (2010 to 2014) but began to increase toward pre-recession rates in the final two years of our study (2015 to 2016)-rising to 4.8% spending growth in 2016.
“People covered by ESI make up more than half of insured Americans (54%), yet most of what we know about health spending comes from studies of the Medicare population,” Frost says. “There is comparatively less research on the ESI population. HCCI now has a dataset spanning 10 years of commercially insured healthcare claims, we felt it pertinent and informative to publish a retrospective look at ESI healthcare spending in America.”
The study also found that:
“We found spending grew across all areas of healthcare services. The distribution of spending across the major categories of services, in other words what services the dollars were spent on, did not shift very much between 2007 and 2016,” Frost says. “This is pertinent as it shows that these health spending increases affect executives across the health care spectrum, not specifically in one sector or another.”
Based on the study there are three things healthcare executives should know: