Dive Brief:
- New data from the S&P Healthcare Claims Indices indicates that increases in medical costs for commercial health plans slowed between August 2012 and August 2013. (The indices are based on claims data from 33 insurers and other healthcare data providers.)
- Medical costs rose 3.2% for the 12 months ending August 2013, as compared with 4.8% in the year before.
- Meanwhile, inpatient fees for service rose 4.2% in 2013 compared to 4.4% the previous year; outpatient costs increased only 5.7% compared with 7.9% in 2012.
Dive Insight:
According to Healthcare Finance News, healthcare spending has been slowing for several years, but experts don't know why. Two explanations which have been floated include preparations for the implementation of the ACA by providers and payers, and lower spending due to the recession, but no one seems to have a clear explanation of this phenomenon. However, it seems imperative that we find out what is going on, as anything we can learn might help us reduce the growth in medical costs even further.