Per capita national health expenditures in the United States have increased significantly since 1960. In 2022, national health expenditures amounted to 13.4 thousand U.S. dollars per capita. For comparison, in 1960, per capital expenditures for health stood at 146 U.S. dollars. According to recent data, the U.S. has some of the highest health care costs in the world.
Health care expenditures With increased per capita health expenditures, U.S. health care expenditures as a percentage of the gross domestic product (GDP) have also increased over the decades. Among developed countries, the U.S. has the highest health expenditure as a proportion of the GDP. The high level of health costs in the U.S. may be attributable to high costs for prescribed drugs and health services as well as high administrative costs.
Cost areas A large proportion of all health care spending in the U.S. is attributable to hospital care and physician and clinical services. In recent years, many sectors have seen an increase in health care spending. However, data suggests that prescription drugs have seen some of the most dramatic increases in spending in recent years. The annual prescription drug expenditures in the U.S. reached an all-time high by the end of 2022.
The public and private per capita health expenditure differs significantly by country. As of 2023, the United States had by far the highest public per capita spending worldwide. Moreover, the U.S. had the second-highest private expenditure on health globally just after Switzerland. Health expenditures globally Health expenditures include the consumption of health goods, services and public health programs as well as insurance and government spending. Globally, health expenditures are on the rise. Among all countries the average per capita health expenditure is projected to see an increase of over 30 percent from the 2019 totals by the year 2050. Despite the growing expenditures, there are still countries with relatively low health expenditures. The countries with the lowest governmental health expenditure include South Sudan, Eritrea and Bangladesh. Health expenditures spotlight: the U.S. In 2021 the U.S. national health expenditure was at an all-time high. However, the projections indicate that total health expenditures will increase even more. The per capita health expenditures for the U.S. looked equally grim, with 2021 projected to be the most expensive year for health care on record. Despite having seen a significant increase in the total cost of health care in the U.S., trends indicate that the annual percentage change in health expenditures is decreasing over time.
In 2023, the United States had the highest per capita health expenditure among OECD countries. At that time, per capita health expenditure in the U.S. amounted over 13,432 U.S. dollars, significantly higher than in Switzerland, the country with the second-highest per capita health expenditure. Norway, Germany and Austria are also within the top five countries with the highest per capita health expenditure. The United States also spent the highest share of it’s gross domestic product on health care, with 16.5 percent of its GDP spent on health care services. Health Expenditure in the U.S. The United States is the highest spending country worldwide when it comes to health care. In 2022, total health expenditure in the U.S. exceeded four trillion dollars. Expenditure as a percentage of GDP is projected to increase to approximately 20 percent by the year 2031. Distribution of Health Expenditure in the U.S. Health expenditure in the United States is spread out across multiple categories such as nursing home facilities, home health care, and prescription drugs. As of 2022, the majority of health expenditure in the United States was spent on hospital care, accounting for a bit less than one third of all health spending. Hospital care was followed by spending on physician and clinical services which accounted for 20 percent of overall health expenditure.
The United States has the highest expenditure on health care per capita globally. However, the U.S. has an unique way of paying for their health care where a majority of the expenditure falls upon private insurances. In FY 2023, around one third of all health expenditure is paid by private insurance. Public insurance programs Medicare and Medicaid accounted for 22 and 18 percent, respectively, of health expenditure during that same year.
U.S. health care system
Globally health spending has been increasing among most countries. However, the U.S. has the highest public and private per capita health expenditure among all countries globally, followed by Switzerland. As of 2020, annual health care costs per capita in the United States totaled to over 12 thousand U.S. dollars, a significant amount considering the average U.S. personal income is around 54 thousand dollars.
Out of pocket costs in the U.S.
Aside from overall high health care costs for U.S. residents, the total out-of-pocket costs for health care have been on the rise. In recent years, the average per capita out-of-pocket health care payments have exceeded one thousand dollars. Physician services, dental services and prescription drugs account for the largest proportion of out-of-pocket expenditures for U.S. residents.
In 2022, U.S. out-of-pocket health care payments was reported to come to an average of 1,424.6 U.S. dollars per capita. In the U.S., especially out-of-pocket payments for prescribed drugs can be very high.This statistic depicts the per capita out-of-pocket health care payments in the United States from 1970 to 2022.
In 2021, healthcare costs under the Dutch Health Insurance Act (Zvw) amounted to an average of 2,679 euros per person for every resident in the Netherlands. This is an increase when compared to the previous year.
The Dutch health insurance system as it is now was introduced in 2006 and combines elements of both public as well as private insurance. It is mandatory to have at least a basic health insurance (in Dutch: basisverzekering) when you work in the Netherlands, because healthcare is funded through taxation of income.
As of 2023, spending on professional services for an average person in the U.S. was approximately 2,134 U.S. dollars annually, whereas around 2,058 U.S. dollars were spent on outpatient services. This statistic shows the components of annual medical costs for an average person in the United States.
In the fiscal year 2022, annual national medical expenses per capita in Japan for inpatient services amounted to approximately 139 thousand Japanese yen. That year, the total amount of average medical service expenditures per person stood at around 373.7 thousand yen. National medical care expenditure refers to the total of public funding and medial expenditure paid by patients in Japan, as well as payments through Japanese health insurance and such.
In 2020, the average out-of-pocket (OOP) per person spending on healthcare services by women aged 85 years and above in the U.S. amounted to 6,504 U.S. dollars. The per-person healthcare expenditure increased exponentially for the women in the oldest age group. In the same year, the total per-person expenditure on personal healthcare by women was also the highest in the same age group, it amounted to 36,686 U.S. dollars per individual.
The graph shows the average annual per capita health care expenditure of private urban households in China from 1990 to 2024. In 2024, per capita annual health care expenditure of urban households in China amounted to about 2,925 yuan.
This statistic shows an average person's yearly expenses for health care and prescription medication in the United States, by age. In 2007, a person between 18 and 44 years of age had average expenses of 2,754 U.S. dollars on health care and prescription medication.
In the fiscal year 2022, annual medical expenses per capita in Japan amounted to approximately 374 thousand Japanese yen, an increase from around 315 thousand yen in fiscal 2013. The total amount of national medical expenditure in fiscal 2022 was approximately 46.7 trillion Japanese yen. National medical care expenditure refers to the total of public funding and medical costs paid by patients in Japan, as well as payments through Japanese health insurance and such.
In 2020, the total personal healthcare cost per person for women and men aged 85 years and above in the U.S., amounted to 36,686 U.S. dollars and 34,780 U.S. dollars respectively. This statistic depicts the total personal healthcare spending per person in the U.S. in 2020, by gender and age.
In the U.S. many employers pay a portion of health care costs for employees. As of 2019, the total annual medical costs for employees was just over 13 thousand U.S. dollars. That cost is expected to increase to 13.7 thousand U.S. dollars by 2020. There have been recent changes to employer-offered health care through the Affordable Care Act that requires employers with over 50 employees to offer affordable health care options to their employees.
U.S. health benefits at work
In the United States, both employers and employees may pay health care costs, depending on the work. In a recent survey U.S. residents were asked what benefits they expected from their employers, a vast majority of them said that they expect health care benefits. Despite the demand from employer-sponsored healthcare coverage, not all companies feel that they would be able to offer health coverage as an employment benefit. Another recent survey has illustrated that employer confidence in offering health insurance can change dramatically from year-to-year.
U.S. sick leave benefits
Another aspect of workplace health and wellness, is annual sick leave. In general, a majority of U.S. workers have access to a fixed number of paid sick days per year. However, a very small proportion of employees had access to paid sick leave as needed. As of 2017, around half of all employees utilized up to 5 days of sick leave per year. Despite that, there was still a large proportion, especially among those aged 18-30 years that went to work even though they were ill.
Total health spending per person globally in 2019 averaged to some 1,129 U.S. dollars (1,482 PPP dollars), and is estimated to increase to 1,515 U.S. dollars (2.050 PPP dollars) by 2050. This statistic shows the global health spending per capita in 2019 and projection for 2050 (in U.S. dollars).
Canada has a system of health care that is financed through taxation and public funding. As of 2024, the total per capita expenditure in Canada for health care was estimated to be about 9,053.5 Canadian dollars. This is an increase from the previous years and a significant increase from the 1970s, just prior to the implementation of the 1984 Canadian Health Act. The Canadian health system Canada has one of the highest health expenditures as a percentage of GDP among developed countries. The Canadian health care system is funded and administered by the provinces and territories. There are several principles that the system is founded on: public administration of the system is non-profit, plans must be comprehensive, all residents must be able to access the public health care system, health care should be accessible to anyone anywhere in Canada, and there should be few barriers to accessing healthcare. Despite the attempts at making the system equal across Canada, there are still major differences. For example, Nunavut has some of the highest per capita provincial/territorial governmental health care spending in all of Canada. Health financing in Canada Between the public and private sectors of Canada’s health system, the public sector is responsible for a majority of the health expenditures. Provincial governments are responsible for most of the health care funding, followed by direct federal funds. Drug expenditures, however, are primarily financed through private sector resources.
In 2022, South Koreans spent approximately 4.6 thousand U.S. dollars per capita on health. Health spending is defined by the OECD as the cost of health care goods and services. In the preceding year, Koreans spent an average of 4.2 thousand dollars. With per capita spending steadily increasing over the past decade, it has now surpassed the 2019 OECD average of over four thousand dollars.
The graph shows health expenditures per Chinese citizen from 2000 to 2023. In 2023, the level of per capita health expenditure amounted to about 6,425 yuan, which increased from around 6,044 yuan in the previous year.
In 2020, the average out-of-pocket (OOP) spending on healthcare services per person in the U.S. for women amounted to 1,344 U.S. dollars, and for men, was 1,035 U.S. dollars. During the provided time interval, women on average spend approximately three hundred U.S. dollars more than men OOP annually on healthcare services.
In the fiscal year 2021, medical care expenses under the health insurance system in Japan amounted to approximately 1.2 million Japanese yen on average per person aged between 95 and 99 years. The second-highest costs were seen in 90 to 94 years, with around 1.1 million Japanese yen.
Per capita national health expenditures in the United States have increased significantly since 1960. In 2022, national health expenditures amounted to 13.4 thousand U.S. dollars per capita. For comparison, in 1960, per capital expenditures for health stood at 146 U.S. dollars. According to recent data, the U.S. has some of the highest health care costs in the world.
Health care expenditures With increased per capita health expenditures, U.S. health care expenditures as a percentage of the gross domestic product (GDP) have also increased over the decades. Among developed countries, the U.S. has the highest health expenditure as a proportion of the GDP. The high level of health costs in the U.S. may be attributable to high costs for prescribed drugs and health services as well as high administrative costs.
Cost areas A large proportion of all health care spending in the U.S. is attributable to hospital care and physician and clinical services. In recent years, many sectors have seen an increase in health care spending. However, data suggests that prescription drugs have seen some of the most dramatic increases in spending in recent years. The annual prescription drug expenditures in the U.S. reached an all-time high by the end of 2022.