Overall U.S. healthcare prices continued to rise slowly, increasing 0.1 percent from April 2011 to May 2011, according to the federal Bureau of Labor Statistics.
According to the BLS' Producer Price Indices, which measure average changes in selling prices received by domestic producers for their output, prices across the range of healthcare industries were 1.8 percent higher than a year ago.
The PPI translates into actual or expected reimbursement for a sample of treatments or services.
[See also: Healthcare prices trend upward at close of first quarter.]
In the April-to-May period, pricing activity was relatively stable, increasing incrementally in all but two healthcare sectors. Hospital prices remained flat across the month, while physician office prices rose 0.1 percent. The PPI for dentist offices also rose 0.1 percent.
Like hospitals, prices for home healthcare services remained flat from April to May, while the PPI for blood and organ banks actually fell by 0.1 percent.
Prices at medical and diagnostic laboratories experienced the highest increase in the healthcare sector, rising 0.7 percent, while the PPI at nursing care facilities rose 0.3 percent. Residential mental retardation facilities experienced the largest drop in PPI, as they saw prices fall 0.7 percent.
Comparing May 2010 to May 2011, healthcare PPIs rose 1.8 percent.
For instance, overall hospital prices were 1.6 percent higher in May than a year ago, while physician office prices were 1.7 percent higher. Nursing care facility prices increased 2.9 percent from May 2010 to May 2011, and prices for home healthcare services were 0.3 percent higher than a year ago.
The PPI for medical and diagnostic laboratories increased 0.6 percent from May 2010 to May 2011, while residential mental retardation facilities saw prices rise 4.2 percent through the year. Blood and organ banks experienced a moderate PPI increase of 0.4 percent.
The PPIs for healthcare industry segments measure changes in actual or expected reimbursement received for services across the full range of payer types. This includes the negotiated contract rate from the payer plus any portion expected to be paid by the patient.