The Rise in Medical Care Cost by Eric Lefkofsky

Health care costs in the U.S. have escalated due to patients requiring intensive and expensive medical care. A rise in population and aging are also other factors affecting the costs as demand for health care services prevails. However, mitigation of some diseases has resulted in less need of frequent medical services and thus lowering annual spending.

According to Gerard Anderson, a researcher at Bloomberg School of Public Health, prices of medical care directly results into higher spending. Looking at different diseases, though, there are several factors that lead to individual increase. For diabetes alone, it has the greatest increase in medical care costs, with $64 billion spent yearly. This rise has been facilitated by aging, population growth and high costs of pharmaceuticals along with prevalence of the disease.

Despite best efforts to reduce spending, inpatient care costs have still plummeted even with short hospital stays. Outpatient care for all diseases has also risen as some patients avoid hospitalization. However, the value purchased for the care and pharmaceuticals cannot be justified.

Born in 1969, Eric Lefkofsky is the CEO and co-founder of Tempus – a technology company that provides personalized cancer information by storing clinical and molecular data. He holds a bachelor’s degree in law from University of Michigan. As a businessman, he has co-founded other ventures including Echo Global Logistics, InnerWorkings and Lightbank serving in different roles.

After venturing into business, Eric Lefkofsky commenced a teaching career in Michigan area. Currently, he is an adjunct professor at Chicago University School of Business teaching entrepreneurship and technology-based courses. Eric has also published a book that details how business is affected by technology, titled Accelerated Disruption. He and his wife started Lefkofsky Foundation in 2006. The foundation serves as a charitable trust and supports scientific and educational organizations around the world. With its main focus on children, the foundation has funded over 50 organizations.