'Health Care Spending Paper Essay\r'

'wellness c atomic number 18 costs for individuals in the united States use up change magnitude and will stick around to increase. The reduce of muckle ingesting cargon and insurance is one of the major(ip) performers in wellness consider spending. A nonher factor is the come in needed to be washed-out on new equipment and technology which will always continue to change. The U.S. wellness flush spending accounts for 16% of the stark(a) domestic product (GDP), which is the mellowest compared to other countries. Although the American populations eng get along benefited from the investments made in wellness guard, it still puts strains on the systems used to finance health care, such as private and public insurance programs. Many heap are still without insurance and those who do extradite insurance waste seen their out-of-pocket expenses grow from their deductibles and copayments (Kaiser Family Foundation, n.d.).\r\n health Expenditures\r\nThe national health expenditures currently train reached $2.1 trillion. harmonize to Forman (2008), â€Å"This translated into $7,026 per person and 16% of the Gross Domestic production (GDP)” (para. 3). Both of these records are the heightsest among the nations. The hospital spending accounts for 31% of the national health care expenditure, which continues to grow. Due to a 0.2% Medicare fee schedule update for docs in 2006, the physician expenditure is at an gener in ally low wander at 5.9%. Prescription drug spending has increase to 19% due to the implementation of Medicare discussion section D. administrative cost have to a fault grown oer the years and is currently at 8.8% in the health care spending expenditure. The growth of this is due to the amount of Medicare beneficiaries who have enrolled in the Medicare Advantage plans. Medicaid spending has for the offshoot time ever, decreased in the amount spent on health care, occasionly due to Medicare Part D (Forman, 2008).\r\n disbur sement too much?\r\nThe direct of health care spending is too exalted and continues to grow. It will continue to grow and exceed the general GDP, which does not leave open opportunities for spending in other areas. wellness care spending has not been manageable for some time now, resulting in a higher number of people uninsured and a greater number of consumers and employers struggling to dedicate insurance. The increased use of the Medicare Advantage plan has increased the greatness of managed care and too puts the remaining fee-for- dish system at risk (Forman, 2008). health care in the U.S. is too much higher priced for the suffices than other countries. gibe to Kelley (2010), the public’s lack of market force out †the ability to drive price based on supply and demand, as with most other products and service †is the cause of high prices in physician service, hospital services, and ethical drug drugs (p. 21).\r\nTo Add or Cut Spending\r\n harmonise to Kelley (2009), â€Å"Estimates suggest that as much as $700 billion a year in health care costs do not improve health outcomes. They occur because we pay more for care sooner than offend care” (p. 2). We are often provided with service that do us no good or services that we really do not need. to a fault much is spent on unnecessary hospitalizations, uncalled-for tests, over-priced drugs, and more expensive equipment that works just as well as the last and cheaper equipment (Kelley, 2009, p. 2). Compared to other countries, the U.S. health care costs are too high; more is spent per capita and the GDP percentage is the highest. wellness care costs also can be reduced by eliminating the amount of medical errors, imposture and abuse, and payments for services with no evidence that they contribute better health outcomes (Kelley, 2009, p. 4).\r\n gibe to Kelley (2009), â€Å"The Federal Bureau of investigating (FBI) estimates that fraudulent billings to public and private h ealthcare programs are 3-10 percent of total health spending, or $75-$250 billion in fiscal year 2009” (p. 17). Kelley (2009), states that a self-coloured amount of care provided adds no or littler value to the diagnosis of a patient’s condition or effective treatment of a diagnosed condition (p. 12). This means that the use of diagnostic test, high-price procedures, and orthogonal use of antibiotics can be decreased. The result of this could hand over millions of dollars in health care expenses for hospitals, patients, and insurance companies. Health care costs also can be cut by administrative costs. consort to kaiseredu.org (2011), â€Å"At least 7% of health care expenditures are estimated to go toward for the administrative costs of government activity health care programs and the net cost of private insurance.”\r\nHealth safeguard Finance\r\nThe public’s health care request are paid for by public and private health insurance companies, which in the year of 2010 cost about $2.6 trillion. This is ten propagation over the $256 billion spent in health care expenditures in 1980 (Kaiser Family Foundation, n.d.). Health care ineluctably for citizens age 65 and older are cover through Medicare with no direct out-of-pocket expenses. non all drug costs and medical services are covered on a lower floor Medicare; some require additional coverage from private insurers (Torrey, 2010, para. 1).\r\nPrivate health insurance is available to employees through their employer. Americans under the age of 65 who cannot afford health insurance have a chance to be covered under state-run programs, such as SCHIP for children. There are millions of people still uninsured and many who are underinsured (Torrey, 2010, para. 2). According to Torrey (2010), â€Å"With the passage of the healthcare reform in blemish 2010, the number of uninsured Americans is changing so that by 2014, 32 million more Americans will have coverage” (para. 6). \r\nEconomic Health Care demand\r\nThe future economic health care needs are expanding health care coverage and addressing the move up costs. The percentage of Americans with health insurance declined in 2009 (American College of Physicians, 2011). According to the American College of Physicians (2011), â€Å"The number of uninsured persons reached an all-time high, with well-nigh 51 million people having no health insurance coverage and 59 million organism without health insurance at least part of the year” (p. 2). Many people have also signed up for Medicaid and many more need to sign up with the time of the Baby Boomers. If the health care system does not come up with a solution to the finances of health care and health insurance it will not be provided. If the costs of health insurance are also not taken into account, many will fall away their insurance because they can no longer afford it.\r\nI believe the needs of the health care system will be met through government financing and other programs, which may result in higher taxes. In 2014 the Affordable Care go (ACA) will become available to nearly all Americans and will address the challenges of rising costs, inadequate capacity, and coverage. According to the American College of Physicians (2011), â€Å"ACA will address the shortage of uncomplicated care physicians by reforming payment systems and by the backup of primary care training programs” (p. 1). The health care system needs to realize how their money is cosmos spent and wasted. The costs of medical supplies and some prescription drugs are outrageous.\r\nStarting with little changes, such as the price of aspirin in a hospital can result in lower health care costs. The important need of Americans and providing affordable health insurance is a major issue. This results in the high health expenditures that are seen today. Americans should not have to disturb about whether or not they will be able to afford health care in the ne xt few years, let alone have insurance. Americans without insurance will need to have nark to some type of care or insurance. Health insurance companies and employers need to come up with a solution or find ways to attention out the people of the U.S. If health care prices do not decrease soon, they may never decrease.\r\nReferences\r\nAmerican College of Physicians. (2011). Health Care Coverage, Capacity and Cost: What Does the proximo Hold?. Retrieved from http://www.acponline.org/advocacy/events/state_of_healthcare/snhcbrief2011.pdf Forman, H.P. (2008). National Health Care Expenditure Update: A New menace or an Opportunity?. Retrieved from http://www.ajronline.org/content/190/3/557.full kaiseredu.org. (2011). US Health Care Costs. Retrieved from kaiseredu.org: http://www.kaiseredu.org/Issue-Modules/US-Health-Care-Costs/Background-Brief.aspx Kelley, R. (2009). Where Can $700 one million million in Waste be Cut yearly from the U.S. healthcare System?. Retrieved from http:// www.factsforhealthcare.com/whitepaper/HealthcareWaste.pdf Torrey, T. (2010). Healthcare Reform †How Should Healthcare be Paid For?. Retrieved from http://patients.about.com/od/healthcarereform/a/reform-payment.htm\r\n'