As policymakers look for ways to “bend the health care cost curve,” proposals inevitably focus on various methods to increase use of more efficient/higher-value products and services. This may include the use of cheaper and/or more effective services, or the use of more appropriate care settings (i.e. not going to the emergency room for non-emergent care). While total spending per beneficiary has not declined, data shows that over the last decade or so, there has been a noticeable shift in where Medicare beneficiaries receive care, and it points in the right direction.[1] Spending on inpatient hospital services, as a percentage of total spending per Medicare beneficiary, decreased 26 percent between 1999-2012.[2] At the same time, spending on outpatient hospital services increased 71 percent and spending on home health care increased 12 percent. While spending on hospice care in 2012 was still only 4 percent of total spending per beneficiary, that is nearly triple the share of spending on hospice in 1999. With 10,000 baby boomers retiring each day and beneficiaries living longer, it is imperative that we continue to build upon this trend of treating individuals in the most appropriate setting.