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Any discrepancies in the expenditure data by age group between our previous paper and this one are attributable to improved measures of the distribution of health spending by age and updated total health spending data from the National Health Expenditure Accounts.
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Personal health care comprises therapeutic goods or services used to treat or prevent a specific disease or condition in a specific person. Non-personal health care includes government spending to provide health services and to prevent or control health problems in a group setting, where individuals cannot be identified. Non-personal health care also includes the cost of running various government health care programs; the difference between premiums earned by insurers and the claims or losses incurred for which insurers become liable (that is, the net cost of private health insurance); spending for noncommercial biomedical research; and the cost of structures and equipment used throughout the health care delivery system.
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The services include home health care; care from professionals such as optometrists, chiropractors, audiologists, and podiatrists; dental care; retail prescription drugs; retail purchases of durable medical equipment, such as eyeglasses, contact lenses, hearing aids, and wheel-chairs; and retail purchases of non-durable medical products, such as over-the-counter medications.
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Although these data do not reflect the impact of Medicare Part D, which had not come into effect in 2004, an analysis of Part D data for 2006, 2007, and 2008 showed no significant change in the distribution of spending on prescription drugs in the elderly population by gender.
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