How do hospitals set prices? They set prices to maximize revenue, and they raise prices as much as they can — all the research supports that.
—Glenn Melnick, Professor of Health Economics at the University of Southern California
In the following cases, guess how much the hospital billed the patient:
- A fellow cut his finger while peeling an avocado and needed five stitches.
- A fellow needed three stitches for a dog bite.
- A toddler fell and cut her forehead. It was treated with skin glue.
Answers:
- $3,355
- Over $2,000.
- $1,696
These examples and others are discussed in this New York Times article. The hospital was different in each case, and the hospitals did negotiate the final fees with the insurance company or the patient. But the inflated and fluid fees illustrate one of the problems with the present U.S. health system.
We’re all hearing about the problems with Obamacare — The Economist has called it a flawed program by a flawed president to fixed a flawed system. I find it hard to argue with that assessment. What about you?
I wish that I could answer but oddly enough, the poor who can access our government health facilities do not get fleeced like this whereas the well to do who either have insurance or can afford their own way, do get fleeced much more than these examples. We do not have a universal health coverage here and some of the stories that we read about in our press can be even more startling. The medical profession itself has taken a beating as far as its image is concerned.
It sounds as if your system is almost as crazy as ours is.
Question: How do we fix “a health care system that has little or no price regulation in the private market?”
Obamacare: Require everyone to get health insurance, whether they want it or not.
Obamacare has done nothing to fix the real problems of the health care system. Sure there are going to be beneficiaries from the law — people who needed health insurance and couldn’t get it before…. and the insurance companies.
I clicked submit before I answered your question about the assessment of a flawed program by a flawed president to fixed a flawed system.
I agree with the assessment, but think it to be overly gentle on the president. The media has not done a good job of critical reporting of this president and his administration. The debacle over the Affordable Care Act has been too big to ignore, though.
I voted for this guy in ’08. I’ve been disappointed with him since shortly after he took office.
As a measure of his success, how likely is it that many Democrats running in 2008 will want his help in their campaigns?
The Democrats are understandably worried and won’t want his help. But that doesn’t mean the voters will like the Republicans either.
Excuse me while I scream, pull my hair, kick the furniture & throw up !
Sounds energetic. 🙂
sorry.
i cannot comment here. my soap box . . . by public request . . .
is packed up in a storage box . . . way in the back of the closet. LOLOL.
if pushed . . .
i would have to say (regardless of what is broken ~ health system or whatever) IT
ALWAYS starts with GREED. naked unexposed secretive GREED on EVERY LEVEL.
oops. that dang box. it’s magic. just appears at will! 😀
It is a mess!
I’m afraid the rest of the world regards the US health system as a sad joke. Easily the most expensive in the world for outcomes roughly equivalent to Cuba.
To change it would mean finding a way to marginalise the entrenched players.
People with enough money can get good health care here. But the system is enormously expensive and inefficient.
We have a public health system that is quite different from yours, I imagine.
You can have private insurance and go “private” – faster service and insurance pays the way.
I do not have such insurance. I have to be referred to a specialist as my health just decided to try out a new “organ default” – not serious but needs some attention. I might get in quick to see xyz person or I might have to wait, will depend on the “wait list” – nor do I know which regional hospital I will be attending…a letter will let me in on those details when/if/how 🙂
Even though I was astounded about new “organ default” I felt relieved that someone was actually listening to me. I have only been with this clinic a few years because my other doctor got to a “used by date” in my health issues and we had a consult that wasn’t even on what I would deem “well, what do you think —> I beg your pardon, you’ve not going to do anything”
So the previous doctor had to stop treating you? How does that work?
Good luck on getting treated soon.
I’m not familiar with the ins and outs of the Affordable Care Act but it does seem to be a bit of a shambles so far. Once again I’m thankful for the NHS which gives me any treatment I need for nothing but my tax payments. Though it can take a a very long time to see a consultant, as they always give priority to their private patients (yes, the big flaw in the system is that they have both NHS and private patients).
$3355 for five stitches? Totally unbelievable. Clearly US healthcare is in another universe entirely!
Sorry I forgot to answer this earlier. Yes, our system is a real mess. Part of the problem is the government and insurers negotiate lower prices with doctors and hospitals, and some people don’t have the money to pay so the providers are out of luck. They charge obscene prices to people without insurance but with some money to make up for their losses elsewhere.