In 2016 we spent $3.4 Trillion on healthcare in America. Here are some interesting facts about that spending.
- $3.4 Trillion is $10,350 for each American.
- $3.4 Trillion is 18% of our GDP or 1 out of every 6 dollars spent. That level of healthcare spending is 50% more than the next nearest country.
- 5% of the population accounts for over 50% of our healthcare costs! Who are these 5%? People with one or more chronic illnesses, plus victims of accidents or violent crime. So, not necessarily the same people each year.
- Hundreds of billions of dollars each year are spent treating Americans who are in the last weeks, or days, of life. About 1/3rd of Americans undergo surgery in their last month of life. A 2010 study found that over 25% of Medicare expenses are spent on patients in their last year of life. Another study found that regions of the U.S. with greater use of hospice and palliative care saw a material reduction in healthcare spending. Study: Hospice Study
- For all our medical spending we are 42nd in terms of life expectancy (79.80 years). Link to rankings: CIA world factbook
- All prescription drugs only comprise 10% of total U.S. healthcare expenses, while all private insurance costs only make up 7%.