CMS Office of the Actuary reports decreased growth in health spending

In a Jan. 7 report the Centers for Medicare & Medicaid Services (CMS) Office of the Actuary explained that health care spending grew at a rate of 3.7 percent in 2012. This is the fourth consecutive year of low growth.  Notably, Medicare spending growth increased by 4.8 percent in 2012; a decrease from the 5 percent growth in 2011. Private health insurance spending growth also slowed, increasing by 3.2 percent in 2012 compared to 3.4 percent in 2011.  Health spending as a share of gross domestic product fell from 17.3 percent in 2011 to 17.2 percent in 2012. The Office of the Actuary noted that the Affordable Care Act contributed to slowed growth but had only a limited impact on overall spending. A summary of report highlights is available on the CMS website.