US health spending increased rapidly, here’s why
By Admin | January 25, 2017
Every year, health spending in the US grows, but the rate of that growth increased drastically between 2014 and 2015. In fact, the federal government says the country spent $3.2 trillion on health care in 2015, which is 5.8 percent more than in 2014 and averages to $9,990 per person.
The main cause for this increase is the passage of the Affordable Care Act, or Obamacare as many refer to the set of laws. The ACA gave health insurance access to millions of Americans who had previously been unable to attain it. With an open marketplace with a variety of insurance plans and Medicaid expansions, people who hadn’t been to go to the doctor in years were finally going.
Also responsible for the upcharges, the federal government funds Medicaid expansion completely.
Private health insurance spending also increased by 7.2 percent, which accounts for one-third of all health spending.