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Inflation is declining, but health premiums and medical costs are heading higher

WASHINGTON — During the pandemic, health care costs — usually a main driver of U.S. inflation — remained surprisingly stable, rising just about 2% annually even as prices for many goods and services soared more than three or four times that rate. But signs are emerging that medical inflation is ....

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Why medical costs are rising even though inflation is falling

Prices for hospital services, the single biggest component of medical care, accelerated in December and even faster in January, to an annual rate of 5.5%. Consumer cost increases for nursing homes ran at a slightly higher rate of 5.7% over the past year; dental services rose even faster. ....

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