HHS estimates $473.1 billion in Medicare savings since 2009

Medicare spent $473.1 billion less on personal health care expenditures between 2009 and 2014 than what would have been spent if the 2000-2008 average growth rate had continued through 2014, according to a report released this week by the Department of Health and Human Services. “Using data from the Treasury Department on Medicare benefit outlays in 2015, we estimate that per enrollee spending growth will continue to be low at around 1%, leading to a cumulative reduction in spending of approximately $648.6 billion between 2009 and 2015,” the report states. “To put this in context, this reduction in spending represents an amount that is greater than total Medicare spending on personal health expenditures in 2015.” The study also found that Medicare spending on inpatient care and post-acute care remained flat in 2014.