SNF, CCRC spending expected to rise 69%
Spending on nursing homes and continuing care retirement communities is expected to roughly keep pace with total U.S. healthcare spending during the next decade, according to the annual “National Health Expenditures Projections” report released last month.
Nursing home and CCRC spending is anticipated to increase from about $160 billion this year to about $270 billion in 2023, the Centers for Medicare & Medicaid Services Office of the Actuary calculated for the report. This is in line with last year's projection. The numbers encompass consumer, insurance company and government spending.
Spending growth for home healthcare is projected at 6.4% for 2015. That outpaces the 4.9% anticipated spending growth for both nursing care and healthcare as a whole next year. This pattern is projected for future years as well.
A recovering economy and expanding health insurance are poised to fuel greater spending, the report states. Still, the proliferation of high-deductible plans and other factors are likely to keep spending growth more modest than it was between 1990 and 2008.