JAMA: Annual Cost of Health Care Waste in U.S. by Category

  1. Waste Due to Administrative Complexity: $265.6 billion
  2. Waste Due to Pricing Failure: $230.7 to $250.5 billion
  3. Waste Due to Failure of Care Delivery: $102.4 to $165.7 billion
  4. Waste Due to Overtreatment or Low-value Care: $75.7 to $101.2 billion
  5. Waste Due to Fraud and Abuse: $58.5 to $83.9 billion
  6. Waste Due to Failure of Care Coordination: $27.2 to $78.2 billion
  7. Total Annual Cost of Health Care Waste: between $760 billion and $935 billion
Notes: From an article entitled, "Waste in the US Health Care System: Estimated Costs and Potential for Savings," by William H. Shrank, MD, MSHS; Teresa L. Rogstad, MPH; Natasha Parekh, MD, MS.

Source: JAMA Network, October 7, 2019 - https://jamanetwork.com/journals/jama/fullarticle/2752664

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