CMS reports ‘modest’ 2015 expenditures

A new report from CMS today shows healthcare spending in 2015 was modest compared to years before the Affordable Care Act (ACA) was passed.

Per-capita healthcare spending grew by 5 percent and overall health spending grew by 5.8 percent in 2015, according to study by CMS published online in Health Affairs. The organization attributes growth to the result of increased use of services as millions became covered under insurance available under the ACA.

In two years, 20 million Americans gained private health insurance coverage or enrolled in Medicaid, raising the percentage of the population with health coverage from 86 percent in 2013 to 90.9 percent in 2015, the report said.

"Our significant progress in reducing the nation's uninsured rate, while providing strong protections for Americans if they get sick, would not be possible without the Affordable Care Act," said CMS Acting Administrator Andy Slavitt. "As millions more Americans have obtained health insurance, per-person cost growth remains at historically modest levels."  

According to the report, spending on prescription drugs increased 9 percent in 2015, which was lower than the 12.4 percent growth in 2014. Additionally, per-enrollee, overall spending increased by 4.5 percent for private health insurance, 1.7 percent for Medicare and 3.8 percent for Medicaid.

Out-of-pocket spending grew 2.6 percent to $338 billion in 2015. Out-of-pocket spending includes direct consumer payments, like copayments, deductibles and any spending that is not covered by insurance.