Nursing amenities and persevering with care retirement communities accounted for $196.8 billion in spending in 2020, pushed by COVID-19, in keeping with an Workplace of the Actuary on the Facilities for Medicare & and Medicaid Providers report revealed by the journal Well being Affairs. The quantity is $22.6 billion greater than in 2019.
General, nationwide healthcare spending modified dramatically in 2020, pushed by funding related to the pandemic, in keeping with the report authors. General healthcare spending elevated 9.7% to achieve $4.1 trillion, which was a a lot quicker charge than the 4.3% enhance seen in 2019.
“Federal spending elevated quickly in 2020 as the federal government elevated public well being spending to fight the pandemic and supplied vital help to healthcare suppliers,” Micah Hartman, a statistician within the CMS Workplace of the Actuary, instructed reporters at a press convention Wednesday.
“To offer a way of the magnitude of this funding, if we exclude spending for different federal packages and federal public well being expenditures, the rise in complete nationwide healthcare spending could be simply 1.9% in 2020, as in comparison with the 9.7% when it’s included,” he added.
Medicare spending slowed yr over yr, aside from nursing house care.
“This was pushed by elevated utilization and spending ensuing primarily from a waiver that allowed protection for expert nursing companies with out a prior in-patient hospital keep,” mentioned Anne B. Martin, an economist within the Nationwide Well being Statistics Group with the Workplace of the Actuary on the CMS.
Main payers’ spending in 2020 grew between Medicaid and Medicare, by 3.5% and 9.2% respectively, whereas non-public pay and out-of-pocket spending declined by 1.2% and three.7%, respectively in keeping with the report.