Page 11 - Summary Report
P. 11

Medical Cost Breakdown




            Medical treatment is a primary driver of rising medical costs. Using our Medical
            Data Call (MDC) data, we observe that, overall, the bulk of medical dollars are
            attributable to medical procedures. Note that medical expenses are not included
            in the MDC.



                                                                Drug
                                                                 14%







                                                         Procedure
                                                            86%





             As the claim ages, prescription drug costs increase more rapidly as a share of
             medical costs.



                   100%
                    90%
                    80%

                    70%                         Procedure $
                    60%

                    50%
                    40%

                    30%
                    20%

                    10%                                                              Drug $
                      0%
                           1      2       3      4       5       6      7       8       9     10     11+
                                                          Age of Claim


            As an enhancement in the 2016 report, we identified “Drugs” as any record where the Paid Procedure Code was an NDC
            code; or Pharmacy Revenue code (REV: 0250-0259, 0630-0637); or HCPCS codes for Drugs Other Than Chemotherapy
            (HCPCS: J0100-J8999) and Chemotherapy Drugs (HCPCS: J9000-J9999.) The reader should be aware of definition
            changes when directly comparing the 2015 and 2016 reports.

             Source:  DE Medical Data Call Service Year 2016
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