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Advice to the President Health Care Cost Containment. David Seltz, Special Advisor to Governor Patrick. Health Care Cost Problem - US. Distribution Of National Health Expenditures (NHE) By Type Of Sponsor, 2007 And 2010. Martin A B et al. Health Aff 2012;31:208-219.
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Advice to the President Health Care Cost Containment David Seltz, Special Advisor to Governor Patrick
Health Care Cost Problem - US Distribution Of National Health Expenditures (NHE) By Type Of Sponsor, 2007 And 2010 Martin A B et al. Health Aff 2012;31:208-219
Health Care Cost Problem - US National Health Expenditures Per Capita, 1990-2019 Projected Historical $13,387 (2019) $8,047 (2009) $2,814 (1990) Source: Centers for Medicare and Medicaid Services, Office of the Actuary, National Health Statistics Group, at http://www.cms.hhs.gov/NationalHealthExpendData/ (Historical data from NHE summary including share of GDP, CY 1960-2008, file nhegdp08.zip; Projected data from NHE Projections 2009-2019, Forecast summary and selected tables, file proj2009.pdf).
Health Care Cost Problem - US Growth in Total Health Expenditure Per Capita, U.S. and Selected Countries, 1970-2008
Health Care Cost Problem - US Projected Revenues and Spending by Category Source: Congressional Budget Office
Health Care Cost Problem - MA ACTUAL AND PROJECTED MASSACHUSETTS TOTAL PERSONAL HEALTH CARE EXPENDITURES, 1991-2020 Year SOURCES:Centers for Medicare & Medicaid Services, Health Expenditures by State of Residence, CMS, 2011; Massachusetts Division of Health Care Finance and Policy, “Massachusetts Health Care Cost Trends, Historical (1991-2004) and Projected (2004-2020),”November 2009.
Health Care Cost Problem - MA PER CAPITA PERSONAL HEALTH CARE EXPENDITURES, 2009 NOTE:District of Columbia is not included. SOURCE:Centers for Medicare & Medicaid Services, Health Expenditures by State of Residence, CMS, 2011.
Health Care Cost Problem - MA NOTE:District of Columbia is not included. SOURCE:Centers for Medicare & Medicaid Services, Health Expenditures by State of Residence, CMS, 2011.
Health Care Cost Problem - MA MASSACHUSETTS STATE BUDGET, FY2001 VS. FY2011 FY2011 FY2001 +$5.1 B (+59%) -$4.0 B (-20%) -15% -13% -11% -23% -50% -33% -38% Health Care Coverage(State Employees/GIC; Medicaid/Health Reform) Infrastructure/Housing HumanServices LocalAid PublicHealth MentalHealth PublicSafety Education SOURCE:Massachusetts Budget and Policy Center Budget Browser.
Health Care Cost Problem - MA MASSACHUSETTS PER CAPITA PERSONAL HEALTH EXPENDITURES AND MEDIAN INCOME, 1999-2009 MA PER CAPITA PERSONAL HEALTH CARE EXPENDITURES MA MEDIAN HOUSEHOLD INCOME Year NOTE:Health care expenditures are inflation-adjusted with 2005 as the base year; median household income is adjusted with 2010 as the base year. SOURCES:Data for health care expenditures from CMS, Health Expenditures by State of Residence, 1991-2009. Data for median income from U.S. Census Bureau, State Median Income.
The Massachusetts Model History of Health Care Reform Efforts in Massachusetts Ch. 305 passed, Health care transparency and e-Health Insurance Reforms, Community Rating, Guaranteed Coverage Ch. 288 passed, Small business health care relief Chapter 224 signed into law Ch. 58 passed, Health Care Reform 1990s 2010 2012 2006 2008
The Massachusetts Model Chapter 224 of the Acts of 2012, an Act Improving the Quality of Health Care and Reducing Costs Through Increased Transparency, Efficiency and Innovation, was signed into law on August 4, 2012 by Governor Patrick and is set to become effective on November 5, 2012. It represents a historic step forward for Massachusetts.
The Massachusetts Model Health Care Cost Growth Goal
The Massachusetts Model Key Provisions of the Law • Promotes payment and delivery system reform by both public and private payers; • Promotes prevention and wellness, including the expanded adoption of workplace wellness programs; • Implements sensible malpractice reforms ; • Increases scrutiny of health care market power and price variation; • Continues review of health insurance rates; • Supports expansion of the primary care workforce;
The Massachusetts Model Key Provisions of the Law, continued • Supports the expansion of electronic health records and the state health information exchange; • Provides key resources for workforce development and training programs; • Provides consumers and employers with quality and cost data to inform decision-making; • Promotes behavioral health care and integration; • Restructures government agencies and functions.
Improved Affordability, Accessibility, and Quality of Health Care Payment Reform System Redesign Consumer Engagement The Massachusetts Model Comprehensive payment reform Key Levers to Contain Costs Increased Transparency System-wide redesign / Integrated care Prevention of illness and Promotion of Good health Health Information Technology Malpractice Reform Health Insurance Plan Design Innovation Health Resource Planning
The Massachusetts Model PROJECTED MASSACHUSETTS TOTAL PERSONAL HEALTH CARE EXPENDITURES, 2010-2026
The Massachusetts Model PROJECTED MASSACHUSETTS TOTAL HEALTH CARE EXPENDITURES AS A PERCENTAGE OF GSP, 2011-2026
