U.S. healthcare costs projected to rise 9% amid concerns over fragmented care

U.S. commercial healthcare costs are projected to grow by 9% next year, marking the largest increase in nearly two decades. According to PWC, this trend could drive total national healthcare spending toward or beyond $6.3 trillion.

While discussions often focus on specific drivers like prescription drug prices, hospital reimbursements, and medical inflation, fragmented or disconnected care also contributes significantly to rising expenses. Issues such as duplicate testing, missed follow-up appointments, medication gaps, and delayed diagnoses create friction in the patient journey.

These gaps in care coordination can lead to avoidable emergency department visits and preventable hospitalizations. Research in the American Journal of Managed Care suggests that improving primary care access and coordination can serve as a financial lever; for instance, eliminating out-of-pocket costs for primary care was associated with a roughly 13% reduction in spending on physician visits.