Activity

Activity ID

13971

Expires

February 14, 2028

Format Type

Journal-based

CME Credit

1

Fee

$30

CME Provider: JAMA

Description of CME Course

Importance  Understanding health conditions with the most spending and variation across locations and over time is important for identifying trends, highlighting inequalities, and developing strategies for lowering health spending.

Objective  To estimate US health care spending for each of 3110 US counties, across 4 payers (Medicare, Medicaid, private insurance, and out-of-pocket payments), and according to 148 health conditions, 38 age/sex groups, and 7 types of care from 2010 to 2019.

Design, Setting, and Participants  Observational analysis using more than 40 billion insurance claims and nearly 1 billion facility records.

Exposures  Ambulatory care, dental care, emergency department care, home health care, hospital inpatient care, nursing facility care, and purchase of prescribed retail pharmaceuticals.

Main Outcomes and Measures  Health care spending and utilization (eg, number of visits, admissions, or prescriptions) estimates from 2010 through 2019.

Results  Between 2010 and 2019, 76.6% of personal health care spending was captured by this study. More spending was on type 2 diabetes ($143.9 billion [95% CI, $140 billion-$147.2 billion]) than on any other health condition, followed by other musculoskeletal disorders, which includes joint pain and osteoporosis ($108.6 billion [95% CI, $106.4 billion-$110.3 billion]), oral disorders ($93 billion [95% CI, $92.7 billion-$93.3 billion]), and ischemic heart disease ($80.7 billion [95% CI, $79 billion-$82.4 billion]). Of total spending, 42.2% (95% CI, 42.2%-42.2%) was on ambulatory care, while 23.8% (95% CI, 23.8%-23.8%) was on hospital inpatient care and 13.7% (95% CI, 13.7%-13.7%) was on prescribed retail pharmaceuticals. At the county level, age-standardized spending per capita ranged from $3410 (95% CI, $3281-$3529) in Clark County, Idaho, to $13 332 (95% CI, $13 177-$13 489) in Nassau County, New York. Across counties, the greatest variation was in age-standardized out-of-pocket spending, followed by private insurance spending. Cross-county variation was driven more by variation in utilization rates than variation in price and intensity of care, although both types of variation were substantial for all payers but Medicare.

Conclusions and Relevance  Broad variation in health care spending was observed across US counties. Understanding this variation by health condition, sex, age, type of care, and payer is valuable for identifying outliers, highlighting inequalities, and assessing health care gaps.

Disclaimers

1. This activity is accredited by the American Medical Association.
2. This activity is free to AMA members.

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Commercial Support?
No

NOTE: If a Member Board has not deemed this activity for MOC approval as an accredited CME activity, this activity may count toward an ABMS Member Board’s general CME requirement. Please refer directly to your Member Board’s MOC Part II Lifelong Learning and Self-Assessment Program Requirements.

Educational Objectives

To identify the key insights or developments described in this article.

Keywords

Health Care Economics, Insurance, Payment

Competencies

Medical Knowledge

CME Credit Type

AMA PRA Category 1 Credit

DOI

10.1001/jama.2024.26790

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