Five Reasons 30% of Healthcare Spending is Waste

The New York Times has an interview with former CMS administrator Donald Berwick.  Berwick says that 20 percent to 30 percent of health spending is “waste” that yields no benefit to patients.  He offered five reasons for this waste:

1. Over-treatment of patients – much of this is end-of-life medicine 


2. Failure to coordinate care


3. Administrative complexity 


4. Burdensome rules


5. Fraud

Much is done that does not help patients at all,” Dr. Berwick said, “and many physicians know it.”