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Why health care costs so much: Expert

Health care in the U.S. is so expensive because the current system focuses too much on sick care and not well care, Daniel Kraft, executive director of exponential medicine at Singularity University told CNBC Tuesday.

"Health care today is very intermittent and reactive and that's what's costs so much money. We wait for diabetes, cancer, strokes to happen," Kraft said in an interview with "Street Signs."

Pali Rao | E+ | Getty Images

According to the OECD, the nation spends just under 18 percent of gross domestic product on health care.

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Instead, the focus should on the prevention side, Kraft said, and he's seeing starting to see that happen now with mobile, connected and digital health.

The shift is occurring fast, with connected devices becoming the "OnStar for the body," helping engage patients and get to value-based health care.

"The new drug is the empowered, engaged patient," he said.

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—By CNBC's Michelle Fox

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