NHE Fact Sheet
Historical NHE, 2014:
- NHE grew 5.3% to $3.0 trillion in 2014, or $9,523 per person, and accounted for 17.5% of Gross Domestic Product (GDP).
- Medicare spending grew 5.5% to $618.7 billion in 2014, or 20 percent of total NHE.
- Medicaid spending grew 11.0% to $495.8 billion in 2014, or 16 percent of total NHE.
- Private health insurance spending grew 4.4% to $991.0 billion in 2014, or 33 percent of total NHE.
- Out of pocket spending grew 1.3% to $329.8 billion in 2014, or 11 percent of total NHE.
- Hospital expenditures grew 4.1% to $971.8 billion in 2014, faster than the 3.5% growth in 2013.
- Physician and clinical services expenditures grew 4.6% to $603.7 billion in 2014, a faster growth than the 2.5% in 2013.
- Prescription drug spending increased 12.2% to $297.7 billion in 2014, faster than the 2.4% growth in 2013.
- The largest shares of total health spending were sponsored by households (28 percent) and the federal government (28 percent). The private business share of health spending accounted for 20 percent of total health care spending, state and local governments accounted for 17 percent, and other private revenues accounted for 7 percent.
For further detail see NHE Tables in downloads below.
Projected NHE, 2014-2024:
- For 2014-24, health spending is projected to grow at an average rate of 5.8 percent per year (4.9 percent on a per capita basis).
- Health spending is projected to grow 1.1 percent faster than Gross Domestic Product (GDP) per year over this period; as a result, the health share of GDP is expected to rise from 17.4 percent in 2013 to 19.6 percent by 2024.
- Given the ACA’s coverage expansions and premium subsidies together with population aging, federal, state and local governments are projected to finance 47 percent of national health spending by 2024 (from 43 percent in 2013).
- Although projected health spending growth is faster than in the recent past due to the combined effects of the Affordable Care Act’s (ACA’s) major coverage expansions, stronger expected economic growth, and population aging, it is still slower than the growth experienced over the last three decades prior to this most recent recession.
- After six years of growth below 5 percent, national health spending is projected to have grown 5.5 percent in 2014.
- Faster health spending due mainly to ACA health insurance coverage expansions and rapid growth in prescription drug spending.
- Factors moderating health spending include the effects of continued increases in cost-sharing requirements in private health insurance plans and near historically low rates of medical inflation.
- The insured rate is projected to have increased to 89 percent in 2014 (from 86 percent in 2013) as 8.4 million are projected to have gained coverage.
- After 2014, national health spending is projected to grow 5.3 percent in 2015 and peak at 6.3 percent in 2020.
- Over this time, medical inflation rates are anticipated to return to levels closer to the decade prior to the recession.
- Medicare spending growth is expected to accelerate after 2015 due to expected increases in use of medical goods and services by aging beneficiaries and continued baby-boomer enrollment.
- Expected improvements in the economy contribute to faster projected growth in private health insurance spending, particularly after 2018.
For further detail see NHE projections 2014-2024 in downloads below.
NHE by Age Group and Gender, Selected Years 2002, 2004, 2006, 2008, and 2010:
- Per person personal health care spending for the 65 and older population was $18,424in 2010, 5 times higher than spending per child ($3,628) and 3 times spending per working-age person ($6,125).
- In 2010, children accounted for 25 percent of the population and 13 percent of PHC spending.
- The working-age group comprised the majority of spending and population in 2010, at 53 percent and 62 percent respectively.
- The elderly were the smallest population group at 13 percent of the population and accounted for the remaining 34 percent of spending in 2010.
- Per person spending for females ($7,860) was 25 percent more than males ($6,313) in 2010.
- In 2010, per person spending for male children (0-18) was 3 percent more than females. However, for the working age and elderly groups, per person spending for females was 29 and 9 percent more than for males.
For further detail see health expenditures by age in downloads below.
NHE by State of Residence, 1991-2009:
- In 2009, per capita personal health care spending ranged from a high of $9,278 in Massachusetts to $5,031 in Utah, where spending was the lowest.
- In 2009, the highest per capita spending occurred in Massachusetts, Alaska, Connecticut, Maine, and Delaware, with spending 24 percent or more above the U.S. average.
- In 2009, the states with the lowest spending per capita were Utah, Arizona, Georgia, Idaho, and Nevada, with spending 16 percent or more below the U.S. average.
- Medicare expenditures per beneficiary were highest in New Jersey ($11,903) and lowest in Montana ($7,576) in 2009.
- Medicaid expenditures per enrollee were highest in Alaska ($11,569) and lowest in California ($4,569) in 2009.
For further detail, see health expenditures by state of residence in downloads below.
NHE by State of Provider, 1980-2009:
- California's aggregate personal health care spending was the highest in the nation, representing 11.1 percent of total U.S. personal health care spending in 2009.
- Wyoming's aggregate personal health care spending was the lowest in the nation, representing just 0.2 percent of total U.S. personal health care spending in 2009.
- All states except Delaware, Virginia, and Wyoming spent 12 percent or more of their state GDP on health care in 2009.
- On average, between 2004 and 2009, aggregate personal health care spending grew the fastest in Alaska (8.0 percent) and the slowest in Vermont (3.3 percent).
For further detail, see health expenditures by state of provider in downloads below.
- Page last Modified: 12/03/2015 11:47 AM
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