Consumer Healthcare Costs – Slowest Growth Rate in 50 Years

Tom Caswell
Director of Sales & Marketing
Synernet, Inc.

What do we make of the statistics recently released that show consumer healthcare costs over the past year rose only 1.1%?  According to a recent white house blog, structural changes have slowed healthcare costs to levels not seen since the early 1960s. Furthermore, the slowing of consumer healthcare costs is a 6 year trend.

As the White House Blog states  “The slowdown in consumer health care price inflation is consistent with a broad array of other evidence suggesting that the growth rate of health care costs is slowing.”

For healthcare administrators the next statement is what should trigger a re-engineering focus on administrative processes.  ” A mounting body of research finds that structural changes are driving a substantial part of the recent slowdown in health care cost growth, suggesting that the trend may persist. Moreover, the fact that the slowdown in cost growth reflects changes in both prices and utilization of medical care – and that the slowdown is apparent in many different aspects of the health care system – further suggests that structural changes are underway. ”

With the rapid changes in healthcare and the slowing of healthcare spending, healthcare administrators will be tasked to streamline processes, improve efficiencies and reduce costs within the new healthcare model. End result – creating a more efficient and consumer friendly healthcare system.

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