HR Policy Association reinforced the need for health care price transparency to control employer costs and improve quality in a statement to the House Energy and Commerce Committee ahead of a hearing on health care spending in the U.S.
By the numbers: Large employers expect a 6% increase in health care costs and 1 in 4 Americans state that they cannot afford their health care needs without experiencing financial hardship.
Why it matters: HR Policy advocated for the passage of the Lower Costs, More Transparency Act last year and continues to work with the Senate as it drafts its own transparency legislation. In the statement, HR Policy reiterated its support for increased transparency, stating that the “opaque nature of the health care system has limited the ability of employers to manage their health care costs.”
Unsustainable spending: The most recent CMS estimates found that health care spending was over $4.4 trillion in 2022, representing 17.3% of gross domestic product. Energy and Commerce Committee Chair Cathy McMorris Rodgers (R-WA) and Subcommittee on Health Chair Brett Guthrie (R-KY) announced a hearing to discuss the factors causing cost increases for patients and potential policy solutions to drive down the cost of care. “Patients, employers, and taxpayers are feeling the brunt of high health care costs as the United States spends more on care as a percentage of our economy than any other developed nation,” said Chairs Rodgers and Guthrie in the hearing announcement.