Dental spending increased by $4B in 2023
Medicare expenditures account for most of growth
Dental spending in the U.S. grew by $4 billion, or 2.5%, between 2022 and 2023, according to the ADA Health Policy Institute’s analysis of Centers for Medicare & Medicaid Services data released Dec. 18.
National dental expenditures totaled $174 billion, making up 3.6% of total health expenditures. Overall health spending increased by 3.8%.
The growth in dental spending included more than $3 billion in increased Medicare dental spending and a $1 billion increase in Medicaid dental spending.
Dental spending by government programs has increased steadily in recent years while spending from private sources — private dental insurance and out-of-pocket spending — has declined slightly. From 2022 to 2023, private dental insurance spending decreased by 0.4% and out-of-pocket spending decreased by 0.7%.
The rise in Medicare dental spending can be attributed to the growing number of seniors who are covered by Medicare Advantage plans, which typically include some type of dental coverage, and the expansion of Medicare dental benefits to cover comprehensive dental care for beneficiaries who are undergoing certain medical procedures, according to HPI’s analysis.
HPI adjusted for inflation in its analysis. For more spending data, visit ADA.org/hpi.