How is this any different than having two people walk into a store to buy the same item and be charged two different prices? Maybe the government should have first required transparency in pricing and then prohibited charging more or less than 5% from the base price for each service(with the range only providing for a group discount)? Isn’t it somewhat discriminatory to charge one person $20,000 for a service because they have one type of insurance and $30,000 because someone else has another insurance? Even more absurd when that same provider might only charge $5,000 for a cash up front paying patient.
Where do the best doctors go? To the bigger hospitals with more patients, greater visibility and opportunity to help more people. That place with the best facilities and newest technology or can afford the newest technology. Seems like the best hospitals attact the best doctors who get paid more for performing the life saving miracles that we all want. Can’t reduce incentive and expect a better outcome. Also supply and demand provides cost reductions. Some insurance companies can guarantee millions of patients and others cannot.
Where else is it any different? Some tire stores have buy 3, get one free. Others don’t! When you purchase a car, do you pay sticker price? What about the no haggle price? If so you paid to much. I don’t make a few thousand dollars per day and therefore, do my homework and spend the time needed to get the right price for a vehicle. The same car typically costs less, much less.
Doctors and hospitals are not like purchasing commodities, however the principle is the same. Supply and demand, business opportunities and hiring the best in the business does make a difference. If it did not, then no reason to improve and we have the health services that do not care!
Just wait until Obamacare kicks in and we will see what these high priced hospitals get paid for their services. They will be making all kinds of adjustments and laying off the extra help when rationing begins. Most hospitals in my area in Texas have contracts with the carriers and it doesn’t matter what the initial billing comes out to. They will only be paid per what the contract says.
I’m not a supporter of the ACA, but I can assure you that the ACA will not change what the hospitals get paid. Nothing in the ACA says that hospitals and insurance companies cannot negotiate fees for services.
Like your local hospitals, insurance companies and hosipitals across the country negotiate contracts – hence in network and out of network costs. Sure the hospital might bill $26 for an asprin, but their negotiated cost with the insurance company is probably $5, and that’s what your bill is based on.
Lastly, it is not uncommon for hospitals even have reduced charges for uninsured patients. Go get a service done at local hospital and don’t provide your insurance, when you get your bill there will be an “uninsured” adjustment that lowers the costs.
Not sure I would agree that the best doctors go to the biggest hospitals. In many communities the largest hospital is the one that is forced to take the uninsured. Don’t forget, Walmart is the biggest but it doesn’t mean they have better service.
Hospitals and Physicians want more money, fewer patients. They want to charge one person what it takes to treat 10.
Less use of the equipment, means less overhead, more profit (that simple). Has nothing to do with quality and care.
Just because one hospital is milking more money from the insurance company then another has nothing to do with anything other then size.
The bigger the hospital, the higher number of patients, the more negotiating power they have. They are not looking at the quality of the surgeon, Doctor, nurse, facility, etc. It is all about profit not quality.
Come Jan 1, 2014. On this day you will see that there is no difference in quality of care and you will learn that people will save money and you will know that you had been misled.
Misled by the insurers, the hospitals, politicians, etc.
How is this any different than having two people walk into a store to buy the same item and be charged two different prices? Maybe the government should have first required transparency in pricing and then prohibited charging more or less than 5% from the base price for each service(with the range only providing for a group discount)? Isn’t it somewhat discriminatory to charge one person $20,000 for a service because they have one type of insurance and $30,000 because someone else has another insurance? Even more absurd when that same provider might only charge $5,000 for a cash up front paying patient.
Where do the best doctors go? To the bigger hospitals with more patients, greater visibility and opportunity to help more people. That place with the best facilities and newest technology or can afford the newest technology. Seems like the best hospitals attact the best doctors who get paid more for performing the life saving miracles that we all want. Can’t reduce incentive and expect a better outcome. Also supply and demand provides cost reductions. Some insurance companies can guarantee millions of patients and others cannot.
Where else is it any different? Some tire stores have buy 3, get one free. Others don’t! When you purchase a car, do you pay sticker price? What about the no haggle price? If so you paid to much. I don’t make a few thousand dollars per day and therefore, do my homework and spend the time needed to get the right price for a vehicle. The same car typically costs less, much less.
Doctors and hospitals are not like purchasing commodities, however the principle is the same. Supply and demand, business opportunities and hiring the best in the business does make a difference. If it did not, then no reason to improve and we have the health services that do not care!
Just wait until Obamacare kicks in and we will see what these high priced hospitals get paid for their services. They will be making all kinds of adjustments and laying off the extra help when rationing begins. Most hospitals in my area in Texas have contracts with the carriers and it doesn’t matter what the initial billing comes out to. They will only be paid per what the contract says.
I’m not a supporter of the ACA, but I can assure you that the ACA will not change what the hospitals get paid. Nothing in the ACA says that hospitals and insurance companies cannot negotiate fees for services.
Like your local hospitals, insurance companies and hosipitals across the country negotiate contracts – hence in network and out of network costs. Sure the hospital might bill $26 for an asprin, but their negotiated cost with the insurance company is probably $5, and that’s what your bill is based on.
Lastly, it is not uncommon for hospitals even have reduced charges for uninsured patients. Go get a service done at local hospital and don’t provide your insurance, when you get your bill there will be an “uninsured” adjustment that lowers the costs.
Not sure I would agree that the best doctors go to the biggest hospitals. In many communities the largest hospital is the one that is forced to take the uninsured. Don’t forget, Walmart is the biggest but it doesn’t mean they have better service.
Run away Cost!
Hospitals and Physicians want more money, fewer patients. They want to charge one person what it takes to treat 10.
Less use of the equipment, means less overhead, more profit (that simple). Has nothing to do with quality and care.
Just because one hospital is milking more money from the insurance company then another has nothing to do with anything other then size.
The bigger the hospital, the higher number of patients, the more negotiating power they have. They are not looking at the quality of the surgeon, Doctor, nurse, facility, etc. It is all about profit not quality.
Come Jan 1, 2014. On this day you will see that there is no difference in quality of care and you will learn that people will save money and you will know that you had been misled.
Misled by the insurers, the hospitals, politicians, etc.
and not from our President.
Surprise.