New figures show that the overall annual cost for hospital stays doubled between 1997 and 2006, from $177 to a staggering $329 billion.
Data revealed that 47% of the increase in overall costs of hospital stays was caused by the increased use of services, for example procedures, technologies, and other interventions. 32% of the increased cost was due to inflation, 16% was due to an increase in patient numbers caused by population growth, and 5% was due to increased discharges.
However, the rise in costs does appear to be slowing down. After adjusting for inflation, the total cost of hospital stays rose just 0.9% between 2005 and 2006, compared to an average of 5.3% per year between 1997 and 2005.
The figures also showed that there were just 25 hospital stays for every 1,000 children aged 1 to 17, compared to 560 stays per 1,000 in adults aged 85 and over. The most expensive condition was spinal injuries, with an average cost of $113,200, mainly due to use of expensive technology and intensive care. Infant respiratory distress syndrome was the second costliest condition at $106,500, primarily caused by the long average length of stay required – 23 days compared to an average hospital stay of 4.6 days.
Hospital Cost Increases Appear To Be Slowing. AHRQ News and Numbers, August 27, 2008. Agency for Healthcare Research and Quality, Rockville, MD.
Levit K, Stranges E, Ryan K, Elixhauser A. HCUP Facts and Figures, 2006: Statistics on Hospital-based Care in the United States. Rockville, MD: Agency for Healthcare Research and Quality, 2008.
