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Pricing of hospital care and other healthcare service makes buying airline tickets and cars look completely transparent. “Favored nation status” cryptically woven into contracts between health systems and commercial insurers, unethically high profit margins of large payers (UHC, Anthem/BCBS/Elevance), intolerably high costs related to regulation and compliance, poor health status of Hoosiers (leading obesity, smoking, diabetes, maternal mortality rates), a large rural population, and a poor education system all contribute to the high costs (as well as prices – not the same as costs) that Hoosiers are subjected to. Attacking hospital reimbursement ALONE is short-sighted, will be ineffective in reducing health COSTS, and likely will have major negative overall financial repercussions for the state. Without addressing the social drivers of health (education, employment, environment, public safety, community, and personal behaviors) that account for 80% or more of health outcomes and health costs, a myopic, an overly simplified approach to rising health care expenditure will not only fail to achieve its goal but will actually exacerbate the problem by reducing access to care, lead to closing of decentralized sites of care, drive providers out of the state, and cut health care related jobs (the health care sector is the largest employer in the state and the economic engine of most small communities in IN). Effective doctors treat the root cause of a disease not just the symptoms.
It seems like a simple solution is for these big hospitals to just charge more for their Medicaid patients and everybody would be at parity.
Oh, but I forgot Republicans are all about free enterprise and hands-off government which means the reason we’re in this mess is that the regulation needed to fix the healthcare “industry“ isn’t going to happen under a Republican watch
You must not understand how contracts with government repairs work. A Hospital can charge as much as they want, but at the end of the day, the government contracts only allow them to reimburse paltry rates relative to the expenditures the hospitals have put out taking care of the patient.
I know this fits IBJ’s preset agenda, but didn’t IU health have $1B hidden in their couch cushions until they got called out on it?