Page 11 - Payroll & Premium by Class
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
                                                         12%






                                                  Procedure
                                                     88%





     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









      Source:  DE Medical Data Call Service Year 2017
   6   7   8   9   10   11   12   13   14   15   16