How Our Health Insurance Dollar is Split up

A recent report prepared by PriceWaterHouseCoopers and released by AHIP breaks down how each dollar that is spent by Americans on health insurance is broken down.

According to the report:

  • $0.33 is spent on physicians services
  • $0.20 is spent on inpatient costs
  • $0.15 is spent on outpatient costs
  • $0.14 is spent on drugs
  • $0.05 is spent on other medical services
  • $0.06 is spent on government payments, compliance & other administrative expenses
  • $0.04 is spent on consumer services, provider support & marketing
  • $0.03 health insurance company profits

The Complete report can be found here http://www.americanhealthsolution.org/assets/Uploads/risinghealthcarecostsfactors2008.pdf

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