{"id":646,"date":"2020-06-03T00:00:00","date_gmt":"2020-06-03T00:00:00","guid":{"rendered":"https:\/\/eccovia.com\/index.php\/2020\/06\/03\/breaking-down-u-s-health-expenditures\/"},"modified":"2024-02-05T14:11:58","modified_gmt":"2024-02-05T14:11:58","slug":"breaking-down-u-s-health-expenditures","status":"publish","type":"post","link":"https:\/\/eccovia.com\/blog\/breaking-down-u-s-health-expenditures\/","title":{"rendered":"Breaking Down U.S. Health Expenditures"},"content":{"rendered":"
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U.S. health expenditures are continually on the rise. The majority of healthcare spend comes from a small portion of the population that are struggling to meet basic means of survival. Identifying the root needs of these individuals is critical in <\/b>combating<\/b><\/span>\u00a0rising expenditures and the needs of afflicted individuals.<\/b><\/p>\n

One of the most debated subjects surrounding U.S. politics, government, economy, and welfare is the country\u2019s healthcare system. With the United States spending more per capita on healthcare than any other nation in the world, one would expect health outcomes to be very high. However, the reality is that actual health outcomes\u2014e.g. life expectancy, infant mortality, death rates related to congestive heart failure and diabetes, etc.\u2014have been improving at a lower rate than most other countries.<\/span><\/p>\n

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The Numbers<\/b><\/span><\/h3>\n

U.S. health expenditures have been growing at a steady rate since before the 1960\u2019s, with few plateaus offsetting growth. A recent Brookings report on healthcare expenditures noted, <\/span><\/p>\n

\u201c<\/span>Sixty years ago, health care was 5 percent of the U.S. economy… at 17.7 percent in 2018, it was more than three times that.\u201d\u00a0<\/span><\/p><\/blockquote>\n

A number of factors could be contributing to the rising health expenditures; for example, according to the latest U.S. census data, 16% of the population is aged 65 years and above, an increase compared to 2010 where this age group comprised 10% of the population. As the population ages, the need for healthcare will increase, thus increasing the overall expenditures in the healthcare sector. Additional factors could include new and improved healthcare services and increased country wealth.\u00a0<\/span><\/p>\n

The Reality<\/b><\/span><\/h3>\n

But one of the most important factors, <\/span>in all actuality, is approximately just 5% of the U.S. population who are responsible for 50% of healthcare expenditures. This 5%, often termed \u201csuper-utilizers,\u201d generally represents individuals who have complex health problems, often coupled with deficiencies in the social determinants of health (SDoH)\u2014aspects of one\u2019s life and environment that are known to impact overall health and wellbeing that cannot be treated in a hospital, including housing and financial security, access to transportation, language barriers, diet and access to high-quality food, water quality, education, and much more. Additional concerns for this population are exacerbated by the rising concern and effect of COVID-19 on disparaged groups. In order to address the rising health expenditures in the US, the SDoH and overall care\/health of the 5% must be remedied.\u00a0<\/span><\/p>\n

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Addressing the 5%<\/b><\/span><\/h3>\n

One of the primary deficiencies for the 5% is the deficiencies in the SDoH. Addressing the 5% by each SDoH on an individual basis only puts a bandaid on a much larger problem\u2014giving food to an individual suffering from health, housing, employment, and food instability only addresses a fraction of their issues and fails to remedy the other factors contributing to their overall poor state.\u00a0<\/span><\/p>\n

To remedy this, many have been developing programs designed to address all aspects of an individual\u2019s health, treating the whole person rather than only isolated aspects of their condition. This concept of Whole Person Care (WPC) has been steadily gaining traction across the country. For example, in California, several counties have enacted or are enacting dedicated WPC programs, with provisions for:\u00a0<\/span><\/p>\n