Donald Berwick, who stepped down
as Medicare administrator last week, said that between 20 percent and 30 percent of health spending is “waste” that provides no benefit to patients.
In an interview with The New York Times, Berwick estimated that Medicare and Medicaid could save between $150 and $250 billion each year by eliminating “activities that don’t have any value.”
Berwick said the five factors contributing to health care waste
include: “overtreatment of patients, the failure to coordinate care, the administrative complexity of the health care system, burdensome rules and fraud.”
“We are a nation headed for justice, for fairness and justice in access to care,” Dr. Berwick said. “We are a nation headed for much more healing and much safer care. There is a moon shot here. But somehow we have not put together that story in a way that’s compelling.”