How Your Premium Dollars Are Spent

Facts

The U.S. spent $2.3 trillion on health care in 2008 (Centers for Medicaid & Medicare Services.) As much as 30 percent of that may be wasted.
(Institute of Medicine, 2002; New England Healthcare Institute, 2008)

Only half of the 100 million antibiotics prescribed annually are necessary.
(FDA, 2003)

400,000 C-sections every year are unnecessary.
(Kaiser Family Foundation, 2003)

16 percent of hysterectomies a year may be unnecessary.
(Institute of Medicine, 2001)

Only 60 percent of patients with chronic conditions receive the care recommended for their condition.
(Rand, 2003)

15 million incidents of medical harm occur in U.S. hospitals each year.
(Institute for Healthcare Improvement, 2006)

Medication mistakes injure over 1.5 million per year.
(Institute of Medicine, 2006)

Care at community hospitals is comparable in quality to academic medical centers, but costs less.
(Pioneer Institute, 2004)

When compared to Minnesota, Massachusetts provides nearly 50 percent more health care per person, but does not perform as well on quality.
(The Dartmouth Atlas of Health, 2003)

Between 44,000 and 98,000 hospital patients die each year from preventable medical errors.
(Institute of Medicine, 1999)

Only 56 percent of patients in Boston receive adequate care.
(Heath Affairs, 2004)

Only 21 percent of the elderly who need beta blockers get them.
(Agency for Healthcare Research and Quality, 2002)

"We are uncertain about the clinical benefit of almost half of the care we provide in our country."
(Rand, 2006)

Less than 54 percent of diabetics in Massachusetts receive the recommended care for their condition.
(Centers for Disease Control and Prevention, 2005)

Massachusetts ranked 35th in U.S. on avoidable hospital use and cost.
(Commonwealth Fund, 2007)

As much as $473 million dollars was spent in Massachusetts in 2006 to fight hospital-acquired infections.
(MA Department of Public Health, 2007)

Quotes

"What's tragic is that so much of this [health care] spending is on duplicative or unnecessary care that doesn't improve health outcomes."
Sen. Judd Gregg, Republican, New Hampshire

"Sure, some people here have the best health care in the world, but the average American is paying too much and not getting enough in return."
John D. Podesta, President & CEO, Center for American Progress

"Some really great thinking that Cleve Killingsworth is doing over there at Blue Cross Blue Shield."
Governor Deval Patrick, Massachusetts

"The AQC recognizes our ability to provide high-quality care at lower costs according to consistent standards of care across our physician and hospital network."
Norman B. Goodman, President and CEO, Signature Healthcare

"It is innovative and welcome news when health care providers and an insurance company are willing to partner to create an alternative payment system based on improvement in quality."
Dr. Don Berwick, President and CEO, Institute for Healthcare Improvement

"I applaud Blue Cross and Blue Shield, Mount Auburn Hospital, MACIPA, and HCPA for the collaborative spirit that led to these new contracts. This initiative will continue to push us to a higher standard in health care..."
State Senator Richard Moore, Senate chairman of the Legislature's Health Care Financing Committee

"If we don't try something like this, the alternative is a continual free-for-all of spending or some sort of regulation."
Stuart Altman, Dean of Heller School for Social Policy and Management, Brandeis University