Health Care Costs Grow Dramatically Slower Than Expected After Obamacare

A new report by the Urban Institute analyzing government projections in U.S. health care spending shows that it is growing at even slower rates than what was originally projected with the passage of Affordable Care Act. The study predicts that the U.S. will spend $2.6 trillion less on health care between 2014-2019 than what was initially anticipated when Obamacare was passed in 2010.

“Health care costs have had several years of really historic low spending during the period, so overall, public programs, private spending is all less than we thought it would be,” said Gary Claxton, vice president at the Kaiser Family Foundation. “Each year we see spending going up 3 percent, 2 percent, whatever, and not 5 percent, and because that stuff compounds, when it continues to go up more slowly ... it starts to really add up.”

Read More →