U.S. Healthcare Spending Up 7.5%, Nears $5T

Analysis | By John Commins | December 18, 2024

Spending for private health insurance reached $1.5 trillion, an 11.5% increase driven by increased enrollment in Marketplace and employer-sponsored plans.
Medicare spending reached $1 trillion in 2023, increasing 8.1% following 6.4% growth in 2022. This faster growth was driven by a turnaround in FFS spending growth.
Medicaid spending increased 7.9% to $871.7 billion in 2023, a slower growth rate than in 2022 (9.7%) and 2021 (9.5%). In 2023.
Medicaid enrollment increased 0.8% in 2023, following growth of 7.5% in 2022, and reached 91.7 million, even as states resumed the Medicaid 'unwinding.'