The cost of medical care in the United States seems to have grown astronomically since your grandparents’ time. Ever wonder why that’s the case? Here are three major reasons why the medical field is so high today.
Insurance
Depending on the Hospital Managed Care Contract Negotiations with your medical insurance company, your insurance plan has a lot to do with the healthcare cost burden falling to both your employer and your family. With a growing number of people on Medicaid and Medicare, even these government-led assistance programs are falling victim to rising costs of care that get passed along. As insurance prices and the costs of care continue to skyrocket without a cap, healthcare costs don’t seem to be slowing down anytime soon.
Demand
Another main reason why medical care can become so expensive is because of high demand. As the population ages and more people are becoming sick through environmental and hereditary factors, the overall burden placed on doctors, nurses and hospitals is multiplied. This higher demand on medical providers puts a premium on care.
Technology
From new diagnostic tests to screen for early signs of cancer to the development of new vaccines for previously fatal diseases, the improvement of medical technology has helped to make healthcare costs rise. Even the sheer number of people living longer than 65 plays a factor in the burden placed on the healthcare industry due to longer lifespans and coincidental rise in need for longer-term care.
While an economic cause for concern, the rising healthcare costs in the U.S. actually point to a beautiful truth: due to advancements in medical technology and care, people are living longer and relatively healthier lives. While the problem of medical expenses doesn’t yet have a solution, it’s safe to say that this is a mixed blessing of living in a developed country.
