What Country Spends the Most on Healthcare?

Key Takeaways

• Healthcare spending is a critical expense for most nations and their citizens in order to stay healthy and cared for.
• The U.S. continues to spend the most on healthcare per person, even though outcomes and quality of care are not often ranked highest.
• Many European countries follow the U.S. in healthcare spending, but the big difference is that most of that cost is subsidized by the government, while the U.S. relies on costly, private health insurance plans.

The United States currently ranks highest in healthcare spending among the developed nations of the world. According to data released by the World Bank in 2023 (latest information), the U.S. rate was a staggering $13,473 per capita.

Switzerland had the second-highest healthcare budget in 2023, with expenditures of $11,784 per capita. Lichtenstein, Norway, and Luxemburg round out the top five, spending between $8,000 and $11,000 per capita each.

Countries Spending the Most on Healthcare

The following 2023 list ranks the top 20 in terms of spending on healthcare based on percentage of GDP according to the Organisation for Economic Co-operation and Development (OECD).

2. United States
3. Germany
4. Switzerland
5. France
6. Sweden
7. Canada
8. Austria
9. United Kingdom
10. Belgium
11. Japan
12. Finland
13. Chile
14. New Zealand
15. Portugal
16. Australia
17. Netherlands
18. Denmark
19. Norway
20. Slovenia
21. Spain

U.S. Healthcare Spending

The situation was roughly the same five years before, in 2018. OECD data listed the U.S. as the country with the largest healthcare spending, sitting at 16.51% of GDP in 2018. Compare this to Türkiye, which spent 4.12% of GDP on healthcare in 2018 and 4.28% in 2023—one of the lowest of any developed country.

Despite the U.S. government having the highest healthcare budget, much of the cost is not publicly financed but comes from personal expenditures and those related to private health insurance.

Countries such as Norway have socialized much of their medicine. With its surplus from oil derivatives, Norway finances the country’s social medicine and expenditures through its Government Pension Fund (though more costs have shifted to private sources).

Still, Norway remains one of the healthiest nations despite spending a significant amount less than the U.S. does on healthcare (9.42% of GDP in 2023).

There is no denying that the U.S. spends more on healthcare by a wide margin. The size of this gap can be explained largely by the fragmented network of health insurance in the U.S. Multiple payment types and insurance companies exist, each offering different services.

This lack of federal oversight contrasts with that of other nations, whose governments impose oversight that, by setting benchmarks for pricing and services, establishes a national standard of care.

Rising Health Insurance Premiums

For most people, the rising cost of health insurance premiums lies at the center of concerns about rising healthcare costs. In 2025, average health insurance premiums for single coverage were $9,325 and $26,993 for family coverage.

The average single coverage premium increased by 5% while the average family premium increased by 6% in 2025. The average family premium increased by 26% since 2020 and 53% since 2015.

Government programs like Medicare and Medicaid have increased overall demand for medical services, resulting in higher prices.

In addition, chronic conditions like diabetes and heart disease have had a direct impact on the increase in the cost of medical care. Chronic diseases account for 90% of the nation’s healthcare costs. And one in five U.S. adults lives with a mental illness.

Higher insurance premiums are only part of the picture. Americans are paying more out-of-pocket than ever before. A shift to high-deductible health plans (HDHPs) that can impose out-of-pocket costs—including deductibles, copays, and coinsurance has average premiums of $25,961 for families for covered workers.

Fast Fact

Dental care is the most commonly skipped medical treatment, followed by visiting a doctor.

Inefficiency and Lack of Transparency

Due to a lack of transparency and underlying inefficiency, it’s difficult to know the actual cost of healthcare. Most people know the cost of care is going up, but with few details and complicated hard to decipher invoices, it’s not easy to know what they are paying for.

Approximately 89% of consumers expressed a high willingness to shop around for care if given the option yet 61% of patients said they trust the cost estimates from payers more than health organizations (28% for hospitals). If hospitals don’t know the true cost of a procedure, patients may have difficulty shopping around, especially given how widely healthcare costs vary across U.S. metropolitan areas.

Patients Avoiding Care

Rising costs have created another casualty: People who skip medical care altogether. They do so not because they are afraid of doctors, but rather, because they’re afraid of the bills that come with healthcare.

According to the Federal Reserve, approximately 28% of American adults didn’t seek some form of medical treatment due to costs in 2024. This was particularly stark in income levels. Forty-one percent of people with a family income of less than 25,000 skipped treatment, while only 14% did for families making $100,000 or more.

How Much Does U.S. Healthcare Cost?

U.S. healthcare spending was $13,473 per capita in 2023, increasing by 7.05% from the previous year. Health spending as a percent of GDP was 16.69%.

What Country Has the Most Expensive Healthcare?

The U.S. has the most expensive healthcare system, with a per-capita healthcare cost of $13,473 in 2023, compared to the second-highest, which is Switzerland, at $11,783.

How Do Americans Pay for Healthcare?

Most healthcare in the U.S. is provided by the private sector. Costs for U.S. healthcare consist of personal expenditures, private insurance, and public programs.

The Bottom Line

While the U.S. continues to spend more on healthcare costs per capita than any other country in the world, the healthcare is more costly for individuals than in many other places, such as Europe. Increasing healthcare costs make it difficult for some to seek care, and many skip care altogether.