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Our members are the local governments of Massachusetts and their elected and appointed leadership.
The Health Policy Commission, established in 2012 to provide analysis of health care costs in Massachusetts, heard expert testimony and public comment on particular areas of the state’s health care system on Oct. 5 and 6 at Suffolk Law School in Boston.
The annual health care cost trends hearing focused on the measure of Total Health Care Expenditures, which looks to quantify per-capita spending on health care. THCE includes all expenses paid to private and public providers, all patient out-of-pocket spending, and the net cost of private insurance.
From 2013 to 2014, THCE increased by 4.8 percent – 1.2 percent above the benchmark set forth in the 2012 legislation that established the Health Policy Commission. The increase is largely attributed to expanded MassHealth enrollment and a dramatic increase in prescription drug costs.
Speakers at the hearing recognized that Massachusetts has some of the highest-quality health care in the country, but this exceptional care, combined with access to expensive teaching hospitals and the high number of covered individuals, makes the cost of health insurance a particular concern.
In remarks at the opening of the hearing, Gov. Charlie Baker noted that the health care industry should be doing more of what works well to hold down costs while providing quality care. He gave Lowell General Hospital as an example.
“I’ve always been a big believer that if you find somebody who’s doing something well, the best thing you can do is figure out what it is they’re doing and then celebrate it,” Gov. Baker told the State House News Service after the hearing.
He also said he would be “aggressive” about adding transparency to the market.
The Health Policy Commission plans to use the information gathered at the hearing, as well as analysis from other state agencies, to compile its 2015 Health Care Cost Trends Report, due out in December.
The commission and certain cost benchmarks were established by legislation that also set targets for reigning in spending and improving the quality of care.
Written by Katie McCue