When Americans say they are worried about health care costs it’s mostly about premiums. That is what people see on a regular basis.
Why this matters. Most people can’t see the year to year value of their insurance- because they don’t use it to any extent.
One of the most striking statistics in healthcare is how skewed spending and usage are across the general population:
- The Top 5%: This small group of the population is responsible for nearly 50% of all healthcare spending. These are typically individuals with chronic conditions or those requiring intensive, acute care.
- The Top 1%: This group alone accounts for over 20% of total spending.
- The Lower 50%: Conversely, the healthiest half of the population accounts for only about 3% of total healthcare spending.
People over age 55 account for nearly half of all health spending, despite being roughly a quarter of the population.
Of course the drivers of premiums are prices and use of health care.
A system or non-system as in the United States which uses many multiple payment systems will never be able to control costs-ever- because any effort to control (costs) premiums for one payer is simply shifted to another.
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