Table 1
Annual Spending and Premium Trends, 1991-2002
 
Annual Change per Capita in
Health Care Spending, by Component
Annual Increase in Employer-Based
Insurance Premiums
Year
Hospital Inpatient
Hospital Outpatient
Physician
Prescription Drugs
All Services
Large Firms2
All Firms
1991
3.5%
16.8%
5.4%
12.4%
6.9%
11.5%
NA
1992
2.8
13.9
5.9
11.7
6.6
10.9
NA
1993
4.8
8.9
3.3
7.1
5.0
8.0
8.5
1994
-2.0
8.7
1.7
5.2
2.1
4.8
NA
1995
-3.5
7.9
1.9
10.6
2.2
2.1
2.3
1996
-4.4
7.7
1.6
11.0
2.0
0.5
0.8
1997
-5.3
9.5
3.4
11.5
3.3
2.1
NA
1998
-0.2
7.5
4.7
14.1
5.3
3.3
3.7
1999
1.6
10.2
5.0
18.4
7.1
4.1
4.8
2000
2.5
11.5
6.3
14.5
7.8
7.5
8.3
2001
7.1
16.3
6.7
13.8
10.0
10.2
11.0
2002
6.21
13.61
5.71
13.01
8.81
12.5
12.7
1 Data through June 2002, change from corresponding months in 2001.   2 Firms with 200 or more workers.   NA=Not available.

Note: Spending data for 1998-2000 reflect the August 2002 revision by Milliman USA.

Source: Milliman USA Health Cost Index ($0 deductible); Kaiser/HRET survey of employer-based health plans for 1999-2002; and KPMG survey for 1991-1998