Hospital Spending Accounted for 40% of the Growth in National Health Spending Between 2022 and 2024

(Authors: Jamie Godwin, Zachary Levinson, and Tricia Neuman for The Kaiser Family Foundation Published: Feb 11, 2026)

National spending on health has increased rapidly over time—rising to $5.3 trillion and 18% of GDP in 2024—and is projected to continue to do so into the future. Growth in health spending contributes to higher costs for families, employers, Medicare, Medicaid, and other payers. In 2025, average annual premiums for employer-sponsored family coverage reached $26,993, with workers paying $6,850 for their coverage, according to KFF’s annual survey of employers. Hospital care accounted for nearly one-third of national health expenditures in 2024, and more than doubled in nominal terms over the preceding two decades, making hospitals a major driver of health spending growth over time. Continue reading here…

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