Staggering health care spending now defines the American economy, as the nation’s $4.5 trillion price tag consumes 17.3% of our GDP—more than double the per-person spending of other wealthy countries—while families face soaring premiums, deductibles, and out-of-pocket costs that are increasingly out of reach.
Key Takeaways
- In 2022, U.S. national health expenditures reached $4.5 trillion, accounting for 17.3% of GDP
- U.S. per capita health spending was $12,914 in 2022, more than double the average of other high-income countries
- From 2013 to 2022, U.S. health spending grew at an average annual rate of 4.7%
- The average annual premium for employer-sponsored family health coverage in 2023 was $23,968, up 7% from 2022
- Workers' contribution to family premiums averaged $6,575 in 2023, 29% of total premium
- Average single coverage premium was $8,435 in 2023, with workers paying $1,401 or 17%
- In 2022, average out-of-pocket maximum for employer family plans was $4,936
- Americans paid $433.7 billion out-of-pocket for health care in 2022, 10% of total spending
- Average deductible for single coverage reached $1,735 in 2023 employer plans
- Average U.S. prescription drug prices are 2.78 times higher than in 33 other countries
- Insulin prices rose 54% from 2014-2018, with average list price $300 per vial in 2022
- Medicare Part D spending on drugs was $237 billion in 2022 for top 10 drugs alone $61 billion
- Average hospital admission cost was $2,883 daily in 2022
- Average cost of a C-section delivery was $14,768 in 2022, vaginal birth $13,024
- Hip replacement surgery averaged $28,092 in U.S. hospitals in 2022
The U.S. spends trillions on healthcare, more than any other wealthy nation by far.
Hospital and Procedure Costs
1Average hospital admission cost was $2,883 daily in 2022
Verified2Average cost of a C-section delivery was $14,768 in 2022, vaginal birth $13,024
Verified3Hip replacement surgery averaged $28,092 in U.S. hospitals in 2022
Verified4Heart bypass surgery cost averaged $123,000 in 2022
Directional5Average ER visit cost was $2,356 without admission in 2022
Single source6Hospital charges for COVID-19 treatment averaged $13,152 uninsured in 2020-2021
Verified7Knee replacement averaged $34,000 in 2022 U.S. hospitals
Verified8Appendectomy cost $33,611 on average in 2022
Verified9Spinal fusion surgery averaged $80,044 in 2022
Directional10Average inpatient hospital stay cost $15,730 in 2021, up 5% from prior year
Single source11Outpatient surgery center costs averaged $3,200 per procedure in 2022
Verified12Mammogram screening cost $336 on average in 2022
Verified13MRI scan averaged $2,145 in hospital outpatient settings in 2022
Verified14Colonoscopy cost $2,753 average in 2022
Directional15Cataract surgery averaged $4,241 per eye in 2022
Single source16Average hospital profit margin was 7.2% in 2022 for private nonprofits
Verified17Uncompensated hospital care totaled $41.6 billion in 2021
Verified18Average negotiated price for hospital services was 243% of Medicare rates in 2022
Verified19Freestanding ER visit cost $1,940 average vs $1,082 hospital ER in 2022
Directional20Neonatal intensive care unit day cost $4,324 average in 2022
Single sourceHospital and Procedure Costs Interpretation
These statistics reveal the profoundly unromantic truth that American healthcare operates on a simple, two-step business model: first, it scares you half to death with a medical crisis, and then it finishes the job with the bill.
Insurance Costs
1The average annual premium for employer-sponsored family health coverage in 2023 was $23,968, up 7% from 2022
Verified2Workers' contribution to family premiums averaged $6,575 in 2023, 29% of total premium
Verified3Average single coverage premium was $8,435 in 2023, with workers paying $1,401 or 17%
Verified4Family premium increases outpaced wage growth by 4x and inflation by 3x since 2013
Directional584% of covered workers are in plans with deductibles averaging $1,735 for single coverage in 2023
Single source6Average deductible for family coverage was $3,848 in 2023, up from $2,512 in 2013
Verified7Out-of-pocket maximum for single coverage averaged $4,134 in 2023 PPOs
Verified8Medicare Part B premiums rose 5.6% to $174.70 monthly in 2024 for most beneficiaries
Verified9Medicare Part D average monthly premium was $55.50 in 2024, up slightly from 2023
Directional10Marketplace silver plan premiums averaged $456 monthly before subsidies in 2023
Single source11Unsubsidized Marketplace premiums increased 4% on average for 2024
Verified12Average employer-sponsored PPO single premium was $8,773 in 2023
Verified13HMO family premiums averaged $21,527 in 2023, lower than PPOs at $24,716
Verified14HDHP/SO family premiums were $21,103 in 2023, with deductibles at $3,293
Directional15Small firms (3-199 workers) saw family premiums of $24,182 vs $23,839 for large firms in 2023
Single source1628% of covered workers were in HDHPs in 2023, up from 18% in 2013
Verified17Average general annual deductible for covered workers was $1,735 in 2023
Verified18Prescription drug premiums for employer plans averaged $2,319 annually for family coverage in 2023
Verified19Medicare supplemental (Medigap) Plan G monthly premium averaged $159 in 2023, varying by state
Directional20Individual market exchange premiums rose 3% before subsidies in 2023
Single source21Average family premium under ACA exchanges was $23,968 unsubsidized in 2023
Verified22Employer coverage premiums grew 20% from 2019-2023, twice wage growth
Verified2372% of firms with deductibles offer OOP maximums averaging $5,131 for family in 2023
Verified24Average American household spent $12,560 on health insurance premiums in 2022
Directional25Medicaid managed care premiums averaged $7,991 per enrollee in 2022
Single source26Silver loading increased Marketplace premiums by 15% on average in 2023
Verified27Average OOP maximum for HDHP single coverage was $3,622 in 2023
VerifiedInsurance Costs Interpretation
Our family’s health plan now costs more than a decent used car, and before we can even use it, we must first satisfy a deductible that feels like buying another set of tires.
Out-of-Pocket Costs
1In 2022, average out-of-pocket maximum for employer family plans was $4,936
Verified2Americans paid $433.7 billion out-of-pocket for health care in 2022, 10% of total spending
Verified3Average deductible for single coverage reached $1,735 in 2023 employer plans
Verified428% of adults skipped needed care due to costs in 2022
Directional5Average OOP spending per capita was $1,300 in 2022
Single source6Family deductibles averaged $3,848 in 2023, with 17% of workers facing $3,000+
Verified742% of insured adults have medical debt in 2022, averaging $2,000 owed
Verified8OOP maximums for single coverage averaged $3,929 in 2022 employer plans
Verified9Uninsured adults face average OOP costs of $1,500 for ER visits
Directional1025% of Americans spent over $1,000 OOP on health care in 2022
Single source11Average copay for office visits was $25 in 2023 employer plans
Verified12Specialist visit copays averaged $49, primary care $30 in 2023 plans
Verified13Generic drug copays averaged $11, preferred brand $47 in 2023
Verified1414% of under-65 adults rationed medicine due to cost in 2023
Directional15Average OOP for hospital stays was $1,482 in 2022 for insured patients
Single source16Dental OOP spending totaled $100 billion in 2022
Verified17Vision care OOP costs averaged $200 per person annually
Verified1860% of adults with OOP costs over $500 reported difficulty paying bills in 2022
Verified19Average coinsurance rate was 18% for in-network services in 2023 PPOs
Directional20High-deductible plans saw average OOP limits of $5,809 for families in 2022
Single source2137% of insured families spent $3,000+ OOP in 2022
Verified22OOP spending on prescription drugs was $68 billion in 2022
Verified23Cancer patients averaged $12,800 OOP annually in 2021
VerifiedOut-of-Pocket Costs Interpretation
In 2022, America's healthcare system perfected the art of the financial bait-and-switch, where the promise of coverage is handily undone by deductibles, debt, and the grim choice between your health and your wallet.
Overall Expenditures
1In 2022, U.S. national health expenditures reached $4.5 trillion, accounting for 17.3% of GDP
Verified2U.S. per capita health spending was $12,914 in 2022, more than double the average of other high-income countries
Verified3From 2013 to 2022, U.S. health spending grew at an average annual rate of 4.7%
Verified4Hospital care accounted for 31% of total U.S. health spending in 2022 at $1.39 trillion
Directional5Physician and clinical services made up 20% of national health expenditures in 2022, totaling $899.1 billion
Single source6Prescription drugs represented 9% of U.S. health spending in 2022, amounting to $405.5 billion
Verified7Medicare spending grew 8.7% to $944.3 billion in 2022, covering 65 million enrollees
Verified8Medicaid expenditures increased 9.6% to $824.1 billion in 2022 for 84 million enrollees
Verified9Private health insurance spending rose 7.5% to $1.3 trillion in 2022
Directional10Out-of-pocket spending by Americans totaled $433.7 billion in 2022, up 5.4%
Single source11U.S. health spending projected to reach 19.7% of GDP by 2031 at $6.8 trillion
Verified12In 2021, administrative costs accounted for 8% of total U.S. health spending, or $360 billion
Verified13U.S. health expenditure growth outpaced GDP growth by 2.4 percentage points annually from 2000-2020
Verified14Nursing care facilities spending hit $204.4 billion in 2022, 14% growth from prior year
Directional15Home health care expenditures reached $133.5 billion in 2022, up 9.5%
Single source16Dental services spending was $175 billion in 2022, growing 3.3%
Verified17Other professional services cost $139.2 billion in 2022, up 4.2%
Verified18Durable medical equipment spending totaled $65 billion in 2022, increasing 6.1%
Verified19In 2020, U.S. health spending surged 9.7% due to COVID-19, reaching $4.1 trillion
Directional20Freestanding substance abuse treatment spending was $5.5 billion in 2022, up 4.8%
Single source21Public health spending rose 40.6% to $73.9 billion in 2022 from pandemic levels
Verified22Investment in health structures was $61.4 billion in 2022, down 2.5%
Verified23Research and development health spending hit $286 billion in 2022, up 13.4%
Verified24Government administration and net cost of health insurance was $90.5 billion in 2022
Directional25U.S. health spending per capita was $9,596 in 2019 pre-pandemic
Single source26From 2019-2022, health spending accelerated to 4.8% annual growth
Verified27Hospital spending grew 4.4% annually 2019-2022 to $1.28 trillion in 2022
Verified28Medicare Advantage enrollment drove 14% Medicare spending growth in 2022
Verified29Total U.S. health spending expected to grow 5.4% annually through 2031
Directional30Per enrollee Medicare spending was $13,614 in 2022, up 6.7%
Single sourceOverall Expenditures Interpretation
The American healthcare system is a voracious economic organism, consuming an ever-growing double slice of the national pie while somehow leaving its citizens both overfed with bills and undernourished in value compared to the rest of the developed world.
Prescription Drug Costs
1Average U.S. prescription drug prices are 2.78 times higher than in 33 other countries
Verified2Insulin prices rose 54% from 2014-2018, with average list price $300 per vial in 2022
Verified3Medicare Part D spending on drugs was $237 billion in 2022 for top 10 drugs alone $61 billion
Verified4Humira annual cost per patient was $82,829 before rebates in 2022
Directional5Brand-name drugs cost 3.4 times more in U.S. than Canada in 2022
Single source6Average generic drug price in U.S. was $36 vs $13 internationally in 2021
Verified7Ozempic list price was $935 monthly in 2023
Verified8U.S. spent $648 billion on retail prescription drugs in 2022
Verified9Medicare paid $37.7 billion for top 50 Part B drugs in 2022, average $57,000 per enrollee
Directional10EpiPen list price increased 412% from 2007-2016 to $609 per two-pack
Single source11Biosimilars cost 25% less than biologics but uptake slow at 4% market share in 2022
Verified12Specialty drugs accounted for 52% of net drug spending despite 2% of prescriptions in 2022
Verified13Average U.S. drug launch price was $300,000 annually vs $100,000 OECD average in 2021
Verified14Opioid prescriptions cost $12 billion OOP in 2020
Directional15Harvoni hepatitis C drug cost $94,500 for 12 weeks in U.S. vs $750 in India in 2019
Single source16GLP-1 drugs like Wegovy cost $1,349 monthly list price in 2023
Verified17U.S. pharmacy benefit manager rebates reached $68 billion in 2022, 24% of gross spending
Verified18Brand drugs list prices rose 6.3% in 2022, generics fell 1.2%
Verified19Medicare Part D star ratings tied to rebates saving $2.5 billion in 2022
Directional20Cancer drug costs averaged $10,000 monthly in U.S. in 2022
Single sourcePrescription Drug Costs Interpretation
The American healthcare system seems to have confused a pharmacy with a luxury auction house, where the cure for sticker shock is more expensive than the disease.
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