NEW YORK (CNNMoney) <\/p>\n
Actually, national health spending grew 3.6% in 2013, the lowest annual increase since 1960, when the Centers for Medicare and Medicaid Services began tracking the statistic, officials said Wednesday. <\/p>\n
Spending slowed for private health insurance, Medicare, hospitals, physicians and clinical services and out-of-pocket spending by consumers. However, it accelerated for Medicaid and for prescription drugs, according to the report, published online by the journal Health Affairs. <\/p>\n
Premiums for private health insurance grew 2.8% last year, compared to a 4% increase in 2012. Low overall enrollment growth, greater usage of high deductible plans and other benefit design changes and the health law's medical loss ratio and rate review provisions contributed to the decline, the Centers found. <\/p>\n
Nearly 190 million people -- or 60% of the population -- were covered by private health insurance in 2013. Enrollment increased 0.7% last year, the third straight annual increase. <\/p>\n
Consumer out-of-pocket spending -- including co-payments and deductibles or payments for services not covered by a consumer's health insurance -- grew 3.2% in 2013, down from the 3.6% growth in both 2011 and 2012. <\/p>\n
Spending for physician and clinical services grew 3.8% last year, a slowdown from 2012 when spending grew 4.5%. Expenditures for hospital care increased 4.3%, slower than the 5.7% rate of growth in 2012. <\/p>\n
Drug costs, however, rose at a faster rate than the previous year. Total spending growth for retail prescription drugs increased 2.5% last year, compared to 0.5% in 2012. Drug spending growth increased in 2013 for several reasons, among them higher prices for brand-name and specialty drugs. <\/p>\n
Overall, health care spending has grown at historically low rates for the past five years, which is consistent with declines generally seen during economic downturns, such as the Great Recession that crippled the U.S. economy at the end of 2007. Looking ahead, \"the key question is whether health spending growth will accelerate once economic conditions improve significantly; historical evidence suggest that it will,\" noted the authors, who are from the Centers' Office of the Actuary. <\/p>\n
They also pointed out, however, that in the near term, the health sector will \"undergo major changes that will have a substantial impact\" on consumers, providers, insurers and sponsors of health care. These are the result of the health law's creation of online exchanges, its expansion of Medicaid, and restraints the law made to the Medicare program, the analysts found. <\/p>\n
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Think health care costs are soaring? Think again.<\/a><\/p>\n","protected":false},"excerpt":{"rendered":" NEW YORK (CNNMoney) Actually, national health spending grew 3.6% in 2013, the lowest annual increase since 1960, when the Centers for Medicare and Medicaid Services began tracking the statistic, officials said Wednesday. Continue reading