Healthcare costs grow more slowly
The average per-capita cost of healthcare services in the United States continues to climb but at a slightly slower rate according to Standard & Poor's Healthcare Economic Composite Index.
The S&P Healthcare Economic Composite Index, composed of the Healthcare Economic Index and the Professional Services Medicare Index, increased by 5.21 percent over the 12 months ending January 2012, a decline from the 5.3 percent annual growth rate posted for December 2011.
[See also: U.S. healthcare costs increase.]
The slight deceleration does not indicate a reversal in the upward trend of healthcare costs, said Maureen Maitland, vice president of the company's indices' index management and production department.
"We seem to be moving in a trend of increasing growth rates, which to us wasn't surprising given that we're coming out of a recession, the economy's growing a bit, people are able to and are willing to use healthcare more."
The slowly improving economy with more people getting re-hired and into health plans and using their healthcare benefits are factors contributing to the growth trend, Maitland said. As the economy strengthens, companies are also investing more in such things as healthcare technology, which generally are more costly to use.
Looking ahead, Maitland noted that the presidential election and the outcome of the healthcare law case before the U.S. Supreme Court could have some effect on the growth trend in that those factors may influence how commercial insurers negotiate with companies over healthcare packages in the next couple of years.
Follow HFN associate editor Stephanie Bouchard on Twitter @SBouchardHFN.
