Federal Healthcare Data Shows Hospital Charges Vary Widely For Same Treatment
Here's a fact startling enough to give you a heart attack: federal data released today indicates that U.S. hospitals have differences of up to thousands of dollars for the same procedures, sometimes within the same state or even town.
It has long been known that the healthcare system in America is broken. The Affordable Care Act, or 'Obamacare', was a decisive and controversial effort to make hospital visits affordable for those who need it most, but has largely received mixed reviews. Perhaps the problem lies with the hospitals themselves.
"Hospital pricing is the craziest of crazy quilts," said Ron Pollack, executive director of Families USA, a Washington health consumer advocacy group, in a telephone interview. "Most absurdly, the people who wind up paying the highest prices are people who are uninsured and who can least afford bearing this unaffordable burden."
The research data showed some truly staggering cost discrepancies across the nation. The Southern California area was certainly no exception.
Take one common surgery, an artificial joint replacement, for example. If you were to go to the Cedars-Sinai Medical Center in Los Angeles, the procedure would cost around $110,000. However, if you go to Prime Healthcare's Centinela Hospital Medical Center in Inglewood instead, that figure doubles to over $220,000 for the exact same treatment.
The public has become increasingly agitated with the health care system in recent years, especially because of the exorbitant fees many places charge. Items as simple as a piece of gauze will sometimes cost a patient several dollars and are a prime example of price gouging.
"The complex and bewildering interplay among 'charges,' 'rates,' 'bills' and 'payments' across dozens of payers, public and private, does not serve any stakeholder well, including hospitals," Rich Umbdenstock, the Chicago-based association's chief executive officer, said in a statement.
Hospitals defend their litany of often greatly overpriced fees by saying that patients are not only paying for the products and services, but also for the massive amount of money it takes to keep a hospital up and running. Still, many are becoming critical of these healthcare practices.
"As we expand health coverage for people, it's even more important to have a serious agenda that brings together the twin concerns of quality of care and cost efficiency," Pollack said.
This is the first time that the federal government has released data on the costs of healthcare at a wide array of specific locations. Those who support greater transparency in the healthcare system hope that this move will lead to greater healthcare reform in America.