If you are a Public Organization with a self-funded plan it is expected you will be part of the 46% total expenditures of prescription public cost in 2024! The chart above shows changes in absolute spending, by payer.
Here’s what CMS is projecting:
- Public funds will overtake employer-sponsored spending. CMS projects that public funds will account for 45% of outpatient retail prescription spending in 2023, while employer-sponsored private health insurance’s share will drop to 38%. Last year, CMS projected that employer-sponsored insurance’s share would amount to 43% in 2022, so the newer forecast implies a faster decline.
- Individually-purchased insurance will account for 5% of drug spending. This category includes Medicare supplemental coverage and individually purchased plans, including coverage purchased through the federal and state marketplaces. CMS expects enrollment in individually purchased private insurance plans to grow, from 20.5 million people in 2013 to 32.5 million people by 2023.
- Consumers will account for an ever-smaller share of drug spending. Consumer out-of-pocket funds—the sum of cash-paid prescriptions and consumer copayments—will decline to 12% in 2023. This will continue a long-term trend.
Stay tuned for a viable solution on my next email…Armando F. Polanco, CEO – Apollo Vanguard, LLC – Office 833 793-7847 – Cell 210 380-1206
