Study analyzes Medicare per capita spending by age and type of service

The peak age for Medicare per capita spending was 96 in 2011 compared to 92 in 2000, according to an article published in Health Affairs, which presents findings from an analysis of Medicare per capita spending among beneficiaries over age 65 in traditional Medicare, by age and type of service.

The analysis uses 2000-11 data from a 5 percent sample of claims for Medicare-covered services under parts A, B, and D from the Chronic Conditions Data Warehouse of CMS, according to the article.

Here are five findings:

1. In 2011, Medicare per capita spending increased with age.

2. Medicare per capita spending peaked at age 96 in 2011 and then "declined gradually for the relatively small number of older beneficiaries."

3. Average Medicare per capita spending for beneficiaries age 96 in 2011 was $16,145 compared to $7,566 for beneficiaries age 70.

4. "Among beneficiaries who lived a full year in 2011, Medicare per capita spending also increased with age and peaked at age 96 ($14,278) before falling."

5. Since 2000, the amount of Medicare per capita spending at the peak age has also gone up, from $9,557 in 2000 (adjusted for inflation) to $15,015 in 2011 if Part D is excluded. It would be $16,145 if Part D was included.

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