[HN Gopher] Most hospitals aren't complying with price transpare...
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       Most hospitals aren't complying with price transparency rule
        
       Author : KoftaBob
       Score  : 289 points
       Date   : 2021-06-15 12:41 UTC (10 hours ago)
        
 (HTM) web link (www.axios.com)
 (TXT) w3m dump (www.axios.com)
        
       | avgDev wrote:
       | US healthcare system is a joke. I have many examples but my
       | recent one is pretty annoying.
       | 
       | My cost of PT with insurance $150 per visit, cash cost without
       | insurance $69 per visit. Like wtf......I get why cash price is
       | lower but this needs to stop. It is getting to a point where you
       | are better off with a high deductible plan and paying cash for
       | minor visits.
       | 
       | I don't know a single individual who used the US healthcare
       | extensively and said "Wow, US healthcare is amazing".
        
         | standardUser wrote:
         | In the US you go to the doctor and have no way of knowing if
         | you will pay $50 or $1500. I've been lied to directly by both
         | providers and insurance reps about what the cost to me would
         | be. Then it's on to appeals, and second appeals and so on.
         | 
         | The entire situation is appalling, and it's even more appalling
         | that people have accepted this nonsense for generations.
        
       | hackeraccount wrote:
       | There's an episode of the Econtalk podcast that covers medical
       | pricing. https://www.econtalk.org/keith-smith-on-free-market-
       | health-c...
       | 
       | It is clearly coming from a ... more sympathetic to free markets
       | side of the argument but I honestly believe it's interesting on
       | it's own terms.
       | 
       | It includes an explanation of the delightful term "compensated
       | uncompensated care"
        
         | Workaccount2 wrote:
         | While I admit I haven't listened to the podcast (yet) I'm not
         | sure how you get around that issue that the free market value
         | of medical services will defacto price in the value of your
         | life and health, which is infinite.
        
         | adolph wrote:
         | I think a whole universe of content could be expanded from that
         | episode and I wish that more of the people commenting here
         | would listen to that episode.
        
       | standardUser wrote:
       | It should be illegal to render medical services without first
       | declaring the precise amount of money it will cost the end user.
       | 
       | If I go to a doctor and they recommend a procedure, it should be
       | on them (the service provider) to tell me the cost and I should
       | pay it right then and there. Billing later should be strictly
       | outlawed.
        
         | acuozzo wrote:
         | As mentioned elsewhere in the thread, how does this scale to
         | the 10X problem?
         | 
         | What if you have a heart attack while under anaesthesia and the
         | cost of your procedure suddenly jumps by a factor of 10?
        
           | standardUser wrote:
           | This probably requires setting prices at a level that can
           | absorb these less predictable costs. Would you rather be told
           | you need to pay "somewhere between $2,000 and $30,000, and
           | you'll find out in a couple months which one it is" or that
           | you simply must pay $4,000? Most households would want the
           | safer bet lest they go bankrupt and have the entire
           | trajectory of their lives altered for the worse.
           | 
           | The far better solution is of course to have a government
           | program cover these types of costs.
        
       | hirundo wrote:
       | I had really bad nausea and pain, went to my doctor, who said I
       | likely had a kidney stone, and the next step was to get an MRI. I
       | was between jobs with no insurance and few funds, so I asked what
       | it cost. The doctor had someone in his office call the hospital
       | and got a quote for $1,500. I got the MRI knowing only that.
       | 
       | A month later I got a bill for $3,500. I drove out to the
       | hospital (2 hours) to ask wtf. They didn't help at all, wouldn't
       | budge.
       | 
       | So I went home and wrote them a check for $1,500, marked as paid
       | in full, with a cover letter explaining my side of it. It worked.
       | They cashed the check and I never heard another word. I've done
       | further business there with no problem. It's well worth pushing
       | back.
        
         | cdumler wrote:
         | I ended up learning this accidentally and have used it ever
         | since:
         | 
         | I knew that hospitals charge ridiculous prices at first and
         | then insurance jumps in. At the time, the insurance that I was
         | on seemed to have a policy of "first let the hospital bill the
         | patient and see if he/she pays then we'll get in involved." My
         | procedure was $3,000+. That was a joke, but it also wasn't
         | wholly inexpensive. I figured I'd end up for my deductible at
         | about $800 or so. Hospital sent me the bill for $3,500. I
         | expected insurance to chime in, but didn't. A month went by, I
         | got an other bill, only lower. I call the hospital why this
         | wasn't being resolved, and they said "looks like we didn't mark
         | the procedure correctly. Ignore the bill, we'll fix this."
         | Another month goes by, another bill, still lower. The bills
         | still come and they kept changing. Eventually, it gets coded
         | correctly and insurance did their part, and I owed $600. I
         | forget it about, though. I get a call on the phone with the
         | hospital saying, "we're going to send you to collections unless
         | we can get some level of payment on this." I ask what the bill
         | is if I pay in full. She says, "Pay in full and it's $380." I
         | said, "I can make that happen."
         | 
         | The U.S. is quite corrupt like any other "third-world" country.
         | Just in different places. Our places are acceptable, though
         | because "deregulation" or "gun rights" or "free speech".
        
           | knubie wrote:
           | You must be joking if you think U.S. healthcare is
           | deregulated. It's one of the most regulated sectors in the
           | economy, which explains why it's such nightmare to deal with.
        
             | LatteLazy wrote:
             | "deregulation" needn't mean actual deregulation. It can be
             | an excuse for corruption just as much as any other
             | initiative.
        
             | rundevilrun wrote:
             | americans really live in another dimension
        
             | ryathal wrote:
             | Its not just heavily regulated, it's also one of the most
             | indirect markets that exists. People often have no idea how
             | much their health insurance actually costs in the first
             | place, and they have no idea how much their insurance may
             | or may not pay for any given procedure, or how much a
             | procedure will be billed for, or even if a single procedure
             | will result in 1-10+ different bills.
             | 
             | Since the people giving care often have to provide care
             | irrespective of ability to pay, they have no idea what
             | anything costs.
             | 
             | Since Insurance companies generally aren't paid by
             | individual people that use their service, and have
             | discretion in what they pay the process is as difficult as
             | possible for providers and users of medical services to
             | navigate.
        
         | onetimemanytime wrote:
         | >> _So I went home and wrote them a check for $1,500, marked as
         | paid in full, with a cover letter explaining my side of it. It
         | worked. They cashed the check and I never heard another word_
         | 
         | I hope it ends as you say (think of collection agencies)
        
         | baron816 wrote:
         | I wonder if you could've written a check for $350 (or any
         | amount), marked as "paid in full," and would have the same
         | outcome. I bet either 1) no one actually looks at the checks or
         | 2) $3,500 is not significant enough for them to fight for at
         | all when a bunch of people are delinquent on $350,000 bills.
        
         | MattGaiser wrote:
         | Isn't this fairly typical? I had an emergency visit when I
         | visited the USA once and was flat out told that the insurance
         | bill was about $3000, but they could take $600 if I paid right
         | away. I had out of country insurance, so had to pay upfront
         | anyway, so I chose the $600 option.
         | 
         | I was flat out offered the cheap cash settlement.
        
           | MeinBlutIstBlau wrote:
           | Part of that is why HSA's are heavily promoted since you get
           | pre-tax dollars to go toward an account you can use
           | specifically for these reasons. So in essence, that "out of
           | pocket" money would be coming from your HSA. In practice
           | however, that's not really the norm.
        
             | danaris wrote:
             | Unfortunately, I've never been offered an HSA that's not
             | "use it or lose it", meaning I have to know my medical
             | expenses for the entire next year during the open
             | enrollment period in the fall in order to properly benefit
             | from it.
        
               | astura wrote:
               | You're describing an FSA, not an HSA, HSAs are not use-
               | it-or-lose-it.
               | 
               | FSAs and HSAs are different types of tax-advantaged
               | accounts with different rules, but both can be used to
               | pay medical expenses.
               | 
               | There's also HRAs too that's another different type of
               | tax advantaged account and can also be used to pay for
               | medical expenses.
               | 
               | This complexity is part of the problem.
        
               | lotsofpulp wrote:
               | HSA is legally yours, and no one can make you lose it.
               | What you are referring to is a health FSA, which have no
               | reason to exist anymore.
               | 
               | Any employer that does not offer HSA eligible plans is
               | shafting their employees. An HSA is a 401K, but better,
               | since you can withdraw without penalty at any time for
               | any healthcare expenses you had at any time in the past.
               | And you can invest it into anything you want (just
               | rollover your funds to a Fidelity HSA every year).
        
               | Amezarak wrote:
               | This is great in theory, but HSAs are only offered with
               | HDHPs, which means that every other year or so, despite
               | contributing the IRS max, I spend out the entire account.
        
               | lotsofpulp wrote:
               | Assuming you have sufficient income, you should pay for
               | expenses today with post tax dollars, and let the HSA
               | money grow tax exempt as long as possible.
               | 
               | The premium difference and the deductible difference
               | between HDHP and non HDHP plan cancels out, generally.
               | You either pay more premiums on an ongoing basis, or more
               | at one time for the expense.
               | 
               | Unfortunately, there is no getting around actually having
               | a lot of healthcare expenses. But spending ~$6k out of
               | pocket on healthcare every two years probably puts you a
               | couple standard deviations above average spend category
               | unless you are old.
        
               | Amezarak wrote:
               | Nothing too crazy. A kid one year, two minor surgeries in
               | other years. Fortunately no ER visits.
               | 
               | It has indeed been my experience that the cost of a non-
               | HDHP plan is approximately the same when all is said and
               | done, but I've considered going back anyway. There's
               | "loopholes" in the system that you end up falling
               | through.
               | 
               | For example:
               | 
               | - have a kid at the beginning of the year, meet your
               | deductible and out of pocket, drain the HSA to do so, but
               | hey, free medical care for the rest of the year and you
               | can build the HSA up again, right? Nope, your division
               | gets acquired, you're laid off and rehired, and your
               | "new" health insurance (same carrier and deductible as
               | the old) has a brand new unmet deductible.
               | 
               | - providers demand prepayment. Fairly unusual, but it
               | happens. Say you need a minor surgery. Well, the MD and
               | hospital want prepayment. Both of them see you have 4K
               | left on your deductible and want 4K each upfront. Don't
               | worry, you'll be refunded / have a credit on your account
               | by whoever files last whenever they file the insurance
               | claim three or more months from now. Bonus: any doctor
               | you visit in the meantime still sees your deductible
               | unmet because the claims haven't been processed.
               | 
               | - medical billing is awful. HDHPs expose you to more of
               | it because more of your actual cash is in okay. Providers
               | bill the wrong amounts, fail to realize you have credits
               | on your account, file as out of network instead of in
               | network resulting in a different discounted cash price,
               | etc.
               | 
               | IME, any health problem requiring more than routine
               | doctor visit plus xray or ultrasound is going to be many
               | thousands of dollars. Who knows what the median is, but
               | there's a reason the total insurance premium for a family
               | HDHP hovers around 20k.
               | 
               | And yeah, I see what you're saying, but yeah, my cash
               | flow is not sufficient for that. Or at least, it doesn't
               | seem worth it for a potential payoff decades from now.
        
               | lotsofpulp wrote:
               | Sorry to hear, but that is a rough set of circumstances
               | to be in the current US healthcare system. The first
               | situation is why employers should have been barred from
               | offering any compensation other than money and time off.
        
               | danaris wrote:
               | I mean, this was admittedly 10 years ago, but it was
               | definitely _described to me_ as an HSA at the time in all
               | the literature I had access to.
        
               | caturopath wrote:
               | That wasn't an HSA, that was an FSA (or an HRA or
               | something else).
               | 
               | FSAs (other than LPFSAs) cannot be used with HDHPs, which
               | are the plans that allow HSAs.
               | 
               | An actual HSA is your money. If you don't spend it on
               | medical care, you can withdraw it when you are elderly as
               | normal money.
        
               | PaulDavisThe1st wrote:
               | and tax-free to boot.
               | 
               | I have an HSA, but I'm painfully aware of how it's just
               | another boondoggle for the wealthy. I can dump cash into
               | it on top of the limits for my 401k and IRAs, and pull it
               | out tax-free with no limits once I turn 65.
               | 
               | Another good example of how an idea that sounds fairly
               | good on paper turns out to be another benefit for the
               | rich in real life.
        
               | caturopath wrote:
               | If you aren't reimbursing medical expenses, the money is
               | taxed, even when you are 65+. (It functions sort of like
               | a Traditional IRA in that circumstance.)
               | 
               | The real trick is to save medical receipts for
               | years/decades and reimburse only when you actually need
               | the money, paying out of pocket until then.
        
               | PaulDavisThe1st wrote:
               | What I mean is yes, indeed, it functions like an
               | additional traditional IRA, gains are accumulated tax
               | free, and the balance can be withdrawn in any way you
               | want post-65.
               | 
               | Does that trick actually work?
        
               | caturopath wrote:
               | > Does that trick actually work?
               | 
               | There is no time-boxing on reimbursement, so it should.
               | HSAs are only about a decade old, so no one has done the
               | extreme versions of it yet, but a decent number of folks
               | are squirreling away receipts and letting the money grow.
        
               | astura wrote:
               | Why wouldn't it? There's no time limit on using the funds
               | and no time limit on reimbursing yourself for medical
               | expenses.
               | 
               | Kinda like a backdoor Roth, no rules prevent it, so it
               | works.
        
           | aaomidi wrote:
           | Typical doesn't mean we should accept it and move on. Which
           | is why we should keep talking about this and keep the
           | pressure up.
        
           | suzzer99 wrote:
           | Yes it's typical. Our healthcare is basically the equivalent
           | of Moroccan rug shopping. It's great.
        
           | mason55 wrote:
           | I wonder if they recognized you were from out of country and
           | so they'd have no way to collect if you just left, and that's
           | why they offered the cash deal up front.
        
         | benlivengood wrote:
         | The reason this works is that bad debt, sold off to collection
         | companies, is worth about 3 cents on the dollar.
         | 
         | You can get much better discounts by talking to the hospital's
         | business/billing office and demonstrating difficulty to pay.
        
         | shiftpgdn wrote:
         | A "normal" business doing this at scale would be investigated
         | for fraud. Yet somehow it's normal when it's a hospital.
        
           | MeinBlutIstBlau wrote:
           | It's definitely not the hospitals fault. It's insurance
           | companies getting involved since paying out of pocket is
           | abnormal. So when you do pay out of pocket, you're paying
           | what the insurance company pays and the hospital billing
           | department is most likely very apathetic to that. Since they
           | operate as non-profits, they often are willing to negotiate.
           | Which is most likely why they can get away with this as
           | opposed to a for profit entity.
        
             | lotsofpulp wrote:
             | There was no insurance company involved in the above story.
             | 
             | > So when you do pay out of pocket, you're paying what the
             | insurance company pays and the hospital billing department
             | is most likely very apathetic to that.
             | 
             | This has nothing to do with a health insurance company.
             | 
             | > Since they operate as non-profits, they often are willing
             | to negotiate. Which is most likely why they can get away
             | with this as opposed to a for profit entity.
             | 
             | This has nothing to do with non profit tax status. Car
             | dealerships negotiate too.
        
               | xahrepap wrote:
               | I think your parent is saying that the quote was given
               | ASSUMING insurance. So when the bill was formally given,
               | it didn't match the quote because the quote was given
               | under false-assumptions (about insurance).
        
               | lotsofpulp wrote:
               | That could be a possibility, which is still completely
               | the hospital's responsibility and does not involve an
               | insurance company at all.
        
               | RandallBrown wrote:
               | There is always an insurance company involved with the
               | prices of medical procedures.
               | 
               | Hospitals set their prices above what most insurance
               | companies will pay to make sure they get the maximum
               | amount from the insurance company.
               | 
               | When you come in without insurance, you appear to get
               | screwed because the prices are extra high just in case
               | some new fancy insurance comes along willing to pay more.
               | Luckily, in many cases it's not terribly difficult to
               | negotiate a lower payment.
               | 
               | I'm not advocating for this system, I think it's
               | terrible, but I understand how it came to be.
        
               | lotsofpulp wrote:
               | That characterization would make the word "involved"
               | meaningless.
               | 
               | If a hospital wants to set their prices high to be able
               | to price discriminate, that is the hospital's choice.
               | 
               | No one is stopping the hospital from offering the same
               | low flat price to everyone.
        
               | mynameismonkey wrote:
               | >Hospitals set their prices above what most insurance
               | companies will pay to make sure they get the maximum
               | amount from the insurance company
               | 
               | Tis is generally not as simple. There are two prices that
               | matter to this conversation: the hospital chargemaster
               | and the usual and customary rate (UCR). The two are not
               | functionally intertwined. The chargemaster exists in the
               | hospital back office as a legal fiction and has little to
               | no relationship to anything the insurance companies do
               | although yes, sometimes chargemasters may be used as part
               | of the rate negotiation with insurers. UCR is governed by
               | what it says on the tin, it is what the market is paying
               | in the specific geography.
               | 
               | The shenanigans kick in when the hospital tries to do
               | something with the fictional difference between their
               | chargemaster and the UCR, or, worse, tries to charge the
               | fictional price to uninsured and under-insured
               | individuals.
               | 
               | I keep a short explainer here:
               | https://jaz.co.uk/2015/10/15/hospital-retail-pricing-for-
               | dum...
        
             | kbenson wrote:
             | When without dental insurance, my dentist office put me on
             | a special "no insurance" price list where I got much better
             | quoted prices, because they knew they weren't dealing with
             | an insurance company with people dedicated to negotiating
             | low rates for each specific procedure individually. They
             | may not have been quite as low as insurance companies paid
             | in some cases, but it was much cheaper overall.
             | 
             | It's not like this is impossible or hard, it just takes the
             | hospital actually caring about their patients enough to not
             | screw them over when they don't have insurance.
        
             | castlecrasher2 wrote:
             | It's both the hospital and insurance provider's fault. In
             | my opinion it's absurd that non-emergency care costs can be
             | adjusted after the fact.
             | 
             | Imagine if a car repair shop could quote you $500 for a
             | fix, then after the repair is done, you've paid, and you
             | get your car back, they say "actually it's $5000, and we'll
             | send you to collections if you don't pay." Non-emergency
             | medical services should be required to follow a similar
             | model, and none of the vague "you agree to pay far, far
             | extra if we don't think to tell you about it ahead of time"
             | bullshit that pretty much everyone has had to deal with.
        
               | lotsofpulp wrote:
               | How is a hospital not quoting the correct price to a
               | person without insurance an insurance company's fault in
               | any way?
        
             | jjoonathan wrote:
             | No, the insurance companies did _not_ force the hospital to
             | do this.
             | 
             | Insurance companies deserve plenty of criticism: cherry
             | picking, lemon dropping, leveraging the low feedback
             | coefficient of their industry to sell one thing and deliver
             | another, a failure to control long term cost growth, the
             | list goes on. But insurance companies do not deserve
             | criticism for _this_. This one is on the hospital, plain
             | and simple. Normally this hustle would have been checked by
             | an insurance company, yes, but that doesn 't excuse it in
             | the slightest.
        
               | runawaybottle wrote:
               | Right, and how exactly is it advantageous to the
               | insurance company's to pay a $3500 bill if it really was
               | $1500 (or possibly lower). The racket on the insurance
               | side is if the bill is truly 1500, which they payout to
               | the hospital, but then still go ahead make back $3500 on
               | the premium off the patients.
               | 
               | I don't know who taught who to be dirty, but it seems
               | like the hospitals and insurers are becoming one in the
               | same (possibly the hospitals learnings from the insurance
               | industry).
               | 
               | My hot take:
               | 
               | Insurers might be on the patients side simply because
               | Americans are living longer, and maintaining the general
               | level of sickness (diabetes, heart conditions, etc).
               | Prices going up does not favor them when medical care is
               | going up, so they are oddly on the average person's side.
               | 
               | But for the hospitals and doctors, this is all a dream
               | come true. Endless supply of patients, so charge whatever
               | you want.
        
               | lotsofpulp wrote:
               | >but then still go ahead make back $3500 on the premium
               | off the patients.
               | 
               | Insurance pricing is very competitive, and health
               | insurers have single digit profit margins. Most less than
               | 5%.
               | 
               | > I don't know who taught who to be dirty, but it seems
               | like the hospitals and insurers are becoming one in the
               | same (possibly the hospitals learnings from the insurance
               | industry).
               | 
               | The west coast has had a combination insurer/healthcare
               | provider for a long time, Kaiser Permanente. It's a very
               | popular organization.
        
               | LanceH wrote:
               | If the bill was $3500, the negotiated price for the
               | insurance company was surely less than $1500. I had my
               | appendix out, the bill was $20k, negotiated price picked
               | up by insurance was $2000.
               | 
               | Price transparency doesn't go far enough. Regular
               | purchasers need to be able to get the real prices, but
               | here we are and we can't even find out what the real
               | prices are, much less purchase at that price.
        
               | ddingus wrote:
               | I read somewhere that insurers and umbrella entities are
               | buying care entities.
               | 
               | That way they can circumvent the care % cap
        
               | csa wrote:
               | The insurance company's profits are capped at a
               | percentage of what they pay out, so (generally speaking)
               | they are incentivized to maximize the amount they pay out
               | so that they can maximize their capped percentage profit.
               | 
               | Aren't they worried about costs? They just pass the cost
               | on to the consumer via increased premiums.
               | 
               | That's the racket.
               | 
               | Insurance companies are definitely _not_ on the average
               | person's side when it comes to containing costs.
        
               | throwaway0a5e wrote:
               | >Prices going up does not favor them when medical care is
               | going up, so they are oddly on the average person's side.
               | 
               | But it does favor them.
               | 
               | If overall margins after operating cost are a small
               | percentage of the money that changes hands then you want
               | the most money to change hands.
               | 
               | The insured have to buy from someone. Price and quality
               | discovery takes so long that reputations don't really
               | matter.
        
             | tssva wrote:
             | If you are paying out of pocket you are likely being billed
             | more than what an insurance company is paying with their
             | negotiated rate.
             | 
             | A large number of hospitals are for profit and in many
             | parts of the US a for profit hospital may be your only
             | reasonably close choice. My experience has been that there
             | is very little difference between how for profit and non-
             | profit hospitals work as far as negotiation of billing.
        
             | dahart wrote:
             | I've had my local university-associated hospital knowingly
             | overcharge & double-dip and repeatedly refuse to back down
             | even when shown the evidence. My insurance company stepped
             | in and resolved the situation by reminding the hospital
             | about which billing practices are not legal.
        
             | macksd wrote:
             | No, hospitals absolutely share a lot of the blame for
             | problems like this. Even WITH insurance, I've been burned
             | so many times that I ask a lot of questions in an attempt
             | to prevent problems and surprises. I get asked to sign
             | forms acknowledging I've seen papers that they can't show
             | me because they don't have them. They will refuse to
             | provide care without me signing the form. Eventually I sign
             | - and will later see a copy of this paper when I contest a
             | bill. I will ask them what something will cost me in the
             | event that my insurance doesn't cover it, and they'll tell
             | me "it depends on how it's coded", and it takes time for
             | them to find out how it will be coded. They will tell me.
             | And then they will code it differently when billing the
             | insurance. I've had bills from doctors for services
             | provided at a hospital that had no record of that doctor,
             | yet the doctor had copies of all the forms I signed at that
             | hospital. And insurance wouldn't cover it because the
             | doctor was not part of my network, even though the hospital
             | proper was.
             | 
             | Insurance companies are full of scum bags and I have my
             | problems with them too, but there's plenty of blame above
             | that really has nothing to do with my insurance company.
        
               | sophacles wrote:
               | Hey, wtf are you doing? Scumbags do not deserved to be
               | lumped in with insurance companies - it's insulting to
               | the scumbags and doesn't accurately describe how
               | despicable anyone involved in the insurance industry
               | truly is.
        
             | spaetzleesser wrote:
             | Don't forget that "non profit" in american hospitals often
             | means a lot of profit for administrators and politically
             | connected people like construction companies, test labs and
             | other providers who can charge outrageous prices without
             | any oversight.
        
           | splithalf wrote:
           | Unless they are Comcast. Then it's ok to work on a sliding
           | scale.
        
             | nobleach wrote:
             | Or Oracle.
        
           | Gibbon1 wrote:
           | If you owned an auto shop in California and did that they
           | would shut you down and criminally prosecute you.
        
           | dcolkitt wrote:
           | In many areas, the local hospital system is the major, if not
           | the only, source of high quality employment. Insurance
           | companies are usually cast as the villain, but they're the
           | entities actually fighting to contain costs, and their profit
           | margins are far thinner.
           | 
           | Consequently the local hospital is often protected by
           | regional politicians and judges. Trying to take on a hospital
           | network is about as likely to succeed as going after the
           | favorite hometown sports team.
        
           | spaetzleesser wrote:
           | So true! When my girlfriend had surgery a few years there
           | were several occasions where the hospital sent a bill for
           | things that never had happened. She called and every time
           | they basically said "Oops. We'll take it off". And at least
           | once they sent the same claim again a while later.
           | 
           | It's hard to imagine any other industry getting away with
           | that behavior.
           | 
           | Another thing is the insane markups. The surgery my
           | girlfriend was getting was about implanting a device my
           | company is producing. I asked around in my company and after
           | a while got told that our device costs usually around 30000.
           | Looking at the bill the hospital charged 80000 and the
           | insurance paid it.
           | 
           | American hospitals and health insurance are a ripoff and
           | fraud on a gigantic scale and it's shocking that they are
           | getting away with it. The whole system is so corrupt I don't
           | think it can be salvaged.
        
         | HarryHirsch wrote:
         | You talk as if haggling over prices during a medical emergency
         | was normal and are proud you got a good deal.
         | 
         | That's what normalization of deviance looks like.
        
           | oconnor663 wrote:
           | I think this is part of why the system is so hard to change.
           | Because of these informal workarounds, most well-educated,
           | reasonably-savvy people can navigate it and get to an
           | acceptable outcome. But people with less
           | familiarity/sophistication/resources get screwed badly. So
           | the system only fails the people who have no power to change
           | it.
        
           | jt2190 wrote:
           | It wasn't a medical emergency. He visited his Primary Care
           | physician, who recommended an MRI, which was performed at a
           | hospital.
           | 
           | In the U.S. it's possible (but not widely known) that you can
           | shop around for medical imaging like MRIs. (My wife has saved
           | thousands of dollars doing this.) Hospitals often run these
           | as profit centers so the markup is quite steep.
        
             | jdmichal wrote:
             | Yes. There are often entire offices that specialize in
             | radiology and do only that.
        
           | madpata wrote:
           | He didn't haggle over the price of the procedure.
           | 
           | He only asked how much it's going to be and was charged with
           | over double what he was quoted.
        
             | HarryHirsch wrote:
             | In Britain you'd go to A&E with your kidney stone and just
             | get the required treatment without haggling over prices.
        
               | vidarh wrote:
               | And if you do insist on going private for a kidney MRI, a
               | quick google shows prices are in the 200-400 pound range
               | ($280-$560, roughly) for MRI of the abdomen.
        
           | f6v wrote:
           | Someone is ought to bring Europe up. Yeah, you'd get it for
           | free in Belgium or Germany. The wait times though... could
           | anything from couple weeks to half a year.
        
             | jrochkind1 wrote:
             | I would like the citation to specifically where and when
             | someone had to wait half a year for a kidney stone to be
             | diagnosed and treated in Europe.
        
             | himinlomax wrote:
             | I got an MRI in France a few years back, not an emergency.
             | Booked an appointment for the next day. To be fair, 30
             | years ago when MRIs were kinda new and machines were
             | extremely expensive, I remember there was not enough of
             | them and patients and doctors complained of long wait
             | times. That's not been an issue in a while.
        
             | avh02 wrote:
             | what i've found/heard in germany is this:
             | 
             | you may struggle/it may take long to find certain things to
             | get a diagnosis, but once you do, it's a ball that gets
             | rolling insanely fast.
             | 
             | 2 anecdotal examples:
             | 
             | colleague's young child was fainting, took them quite a
             | while to get through the right set of doctors/specialists
             | to find out it was a brain tumor - after that was found
             | though, they were scheduled for surgery the next morning.
             | Operation successful, child okay.
             | 
             | I had an appendectomy in the middle of covid: went to the
             | ER unannounced at 7 p.m. - was on the table at 1 a.m. - i
             | paid 50 euros (10 for each day i spent there (they kept me
             | for 3-4 days "just in case")). This was quoted to me up
             | front (the rate, but not the number of days) and i signed a
             | document stating i understood that charge before i was in
             | surgery.
        
               | f6v wrote:
               | That's all correct. The point is it's incredibly hard to
               | get to the specialist at times. I was trying to get an
               | appointment in Belgium, they could only offer April 2022.
        
               | TillE wrote:
               | In Germany, in the vast majority of cases, you can simply
               | go to any doctor's practice (including specialists, no
               | referral required) during office hours and see the doctor
               | the same day, if it's urgent. They'll squeeze you in.
               | 
               | For non-urgent appointments, yes, the wait time for
               | specialists can sometimes be months.
        
               | petschge wrote:
               | Same is true in the US.
        
             | Tade0 wrote:
             | I can get an whole body MRI in Poland for ~$250 via a
             | private healthcare provider and wait less than a week for
             | it at that.
             | 
             | Why is an MRI anywhere in the world $1500, or $3500 for
             | that matter?
        
               | vidarh wrote:
               | Similar price in London. One provider I checked indicated
               | $560 for their "platinum service" which included lots of
               | mostly pointless extras, but $280 for the basic service.
               | 
               | Private hospitals in London largely live off a split of
               | offering cheap convenience or extracting money from
               | foreign patients, but there are so many of them fighting
               | for a small pool of patients given most people just go to
               | the NHS that they have to compete hard.
        
             | UncleMeat wrote:
             | There is one major healthcare provider in my region. When I
             | arrived here, the wait time for a physical was more than
             | two months. The shitty US system is not giving me at-will
             | service.
        
             | vidarh wrote:
             | In most of Europe you still have the _option_ of going
             | private if you want that, either with private insurance on
             | a  "top up" basis, or paying per appointment.
             | 
             | I don't know what the prices are in Germany, but in London
             | an abdominal MRI is in the $280-$600 range. (EDIT: And you
             | can usually get a same or next day appointment)
        
               | HarryHirsch wrote:
               | Prices in Germany are set by the government. If you check
               | the _Gebuhrenordnung fur Arzte_ you 'll see that in
               | private practice an abdominal MRI is EUR 256.46.
               | 
               | The US are a clear outlier.
        
               | vidarh wrote:
               | Makes sense, given the prices I've seen for London and
               | the prices someone quoted for Poland.
               | 
               | Makes the US pricing in this article even more bizarre -
               | in "normal times" you could literally fly to Europe for
               | an MRI and save money.
        
               | sneak wrote:
               | Correspondingly, senior SWEs at startups in Germany
               | struggle to earn above EUR100k/y.
        
               | messe wrote:
               | What exactly is your point?
               | 
               | That it is worth it that people go bankrupt due to
               | medical issues because it means that certain professions
               | can earn 6 figures?
               | 
               | I'm really curious. What do you think you are saying? How
               | do you think those two statements correspond? Do you
               | genuinely believe that if the majority of Europe were to
               | ditch its public health services that salaries would go
               | up and that that would be a good thing?
        
               | sneak wrote:
               | My point is that even if you have to pay market rates for
               | private healthcare insurance in the US (which are crazy
               | high), the overall system in the US works better for many
               | HN-types because while your expenses may be much higher,
               | your income is disproportionately higher (as in 2-5x
               | higher).
               | 
               | FWIW, I am a US person, resident in Germany.
        
               | messe wrote:
               | So you believe that _because you're paying only for
               | private healthcare_ you're income is higher?
        
               | petschge wrote:
               | So you are saying that HN-types got theirs (the huge
               | salary), so they should not care about others? Or are you
               | causing them of a "I got mine, fuck you" attitude? I am
               | still not sure what you are trying to say. But the fact
               | that you LEFT the US that has that kind of dynamic for
               | Germany, where income inequality is smaller and many
               | things -- including medicine -- are more widely
               | accessible makes me scratch my head.
        
               | sneak wrote:
               | > _So you are saying that HN-types got theirs (the huge
               | salary), so they should not care about others? Or are you
               | causing them of a "I got mine, fuck you" attitude?_
               | 
               | Neither of those things, no. (Also, if you think of
               | EUR100k as "a huge salary", you should recalibrate; in
               | the industrialized world it is not.)
               | 
               | > _I am still not sure what you are trying to say. But
               | the fact that you LEFT the US that has that kind of
               | dynamic for Germany, where income inequality is smaller
               | and many things -- including medicine -- are more widely
               | accessible makes me scratch my head._
               | 
               | The healthcare in Germany appears to be somewhat crap
               | compared to the highest level of care available in the
               | US. It's an order of magnitude cheaper, though.
               | 
               | I left the US because the US is a police state, not
               | because best-in-the-world healthcare has highest-in-the-
               | world prices.
               | 
               | My comment could best be summarized as "health care costs
               | should not be a major concern in your life as a SWE
               | because they will be cheap (to you) everywhere, so make
               | your SWE life choices based on other things". You can
               | inaccurately paraphrase this as a rejection of concern
               | for social justice, income inequality, or a generalized
               | "fuck you, got mine" at your own peril.
               | 
               | (FWIW, I think national boundaries are mostly irrelevant
               | and unimportant, and drawing the boundary of your
               | official-concern-for-the-wellbeing-of-others at an
               | invisible line checkpoint to be somewhat closeminded.
               | There are billions without meaningful modern healthcare
               | access at all (or even clean water) so the selfrighteous
               | indignation bit about the relative quality and expense of
               | healthcare in two major industrialized western nations is
               | sort of a silly nit to pick.)
        
               | HarryHirsch wrote:
               | Even so, medical bankruptcies are not a thing in Germany.
        
             | johnday wrote:
             | For a medical emergency? This is simply false.
        
               | klyrs wrote:
               | I live in Canada, and I've seen people put on 6+ month
               | waitlists for (a) MRI after a concussion to make sure
               | there's no internal bleeding (which can kill in a single
               | day), (b) MRI after a stroke to diagnose the root cause,
               | (c) ACL replacement surgery.
               | 
               | Universal healthcare is great, but when you're in a
               | 2-party system and one party undermines it whenever
               | they're in power, the result is terrible.
        
               | johnday wrote:
               | I'm sorry to hear that, but it's not quite relevant to
               | the point that the parent was making about Europe.
               | 
               | For what it's worth, I live in the UK which has similar
               | woes to how you describe Canada's two-party system.
               | However we do normally get seen quickly for things which
               | are a threat to life---but elective operations can take
               | much longer. Mental health issues are also dealt with
               | sluggishly at best.
        
               | f6v wrote:
               | Describe emergency. Sure, you'll get an MRI after a car
               | crash. But you could be in this state where you're not
               | dying, but still very uncomfortable. The wait list is
               | pretty long then.
        
               | KittenInABox wrote:
               | Do you have studies on waiting times that you can cite
               | here? Genuinely asking because I know they certainly
               | exist for Canada[1] with breakdowns down to the Province
               | [2] so I'm just assuming you have some proof that can be
               | used to bolster your claim.
               | 
               | 1. https://www.ncbi.nlm.nih.gov/pmc/articles/PMC7292524/
               | 
               | 2. https://www.hqontario.ca/System-Performance/Wait-
               | Times-for-D...
        
             | astura wrote:
             | That's very similar to wait times as in the US.
             | 
             | Fuck, a few years ago I had to switch dentists and I
             | couldn't get even a teeth cleaning without waiting more
             | than six months.
        
             | sofixa wrote:
             | For an emergency MRI? Are you insane?
             | 
             | For reference, i got an MRI in two days for knee pain after
             | i fell with a bike and the pain didn't go away after a few
             | weeks ( so obviously nothing urgent).
             | 
             | And FYI, i paid for it, iirc 60-100 euros, repaid in full
             | by my medical insurance.
        
               | f6v wrote:
               | The parent wasn't saying whether it was an emergency or
               | not.
        
               | jrochkind1 wrote:
               | So, yeah, there is a point on who considers what an
               | emergency.
               | 
               | They were saying they had pain and nausea, the doctor
               | suspected a kidney stone. Is this an "emergency"? I have
               | had a kidney stone, it is _intense_ pain. My mother had
               | one, said it reminded her of childbirth.
               | 
               | But it won't kill you, probably. You _could_ just be in
               | intense pain for weeks or longer waiting to pass it.
               | 
               | Is that an emergency? I think in probably any sane
               | medical system it is. In the USA? No idea.
        
           | __turbobrew__ wrote:
           | These stories are amazing to read as a Canadian. I recently
           | went to my doctor for chronic foot pain and I was into the
           | MRI within a week (albeit at 3AM) and didn't pay a cent.
           | 
           | I have received multiple offers to work in the US as a dev
           | but the quality of life and safety nets here in Canada are
           | more important to me than a higher salary.
        
           | jrochkind1 wrote:
           | Yup, good reminder that we're here in the US being like "We
           | should be able to tell what absurd price we are going to be
           | charged before we get the procedure so we can decide if we
           | want to shop around and we can't even do that!", and still on
           | "if only we could do that, it would be a victory!". Geesh,
           | we're screwed.
        
         | JohnWhigham wrote:
         | As sad as this request may be, does anyone have a checklist or
         | something of strategies to try with hospitals for bill
         | negotiation?
        
           | kingnothing wrote:
           | Contact them and have a discussion with their finance
           | department.
        
           | bufordtwain wrote:
           | Step 1: don't pay the bill Step 2: wait... Step 3: continue
           | to not pay the bill step 4: when you've waited a very long
           | time, offer a tiny amount of money
        
         | rsyring wrote:
         | FYI, there are usually non-hospital businesses that do xrays
         | and MRIs for substantially less than a hospital charges. They
         | usually know their fees, expect payment at time of service for
         | the uninsured, and have no surprises.
         | 
         | Example: https://priorityradiology.com/
         | 
         | Xrays were under $250 and MRI was $600 last time my family
         | needed it.
        
         | ridethebike wrote:
         | I went to hospital and they assured me my procedure was covered
         | by insurance and I wouldn't need to worry about that and in
         | worst case scenario insurance would contact me. Couple of days
         | later this hospital sent me $400 bill. It took me several phone
         | calls to get them to acknowledge that they sent it by mistake.
         | 
         | Exactly same situation happened year later but with ~$800 bill.
         | 
         | Although doctors and medical staff themselves are ok, the US
         | healthcare system as a whole is some incompetent clown mafia.
        
           | matesz wrote:
           | I've had similar story, but this time with the IRS.
           | 
           | Right after my university I've started pursuing startup idea
           | and of course I though that I will get investors coming
           | through the door very quickly so first thing I did was to
           | setup a Inc. company in Delaware. There is 2 ways to pay
           | taxes there - on revenue or on shares (I might got it
           | slightly wrong)...
           | 
           | After a year or so company staying dormant I was living in
           | Europe already and received mail saying that I have to pay
           | $150k in taxes :o
           | 
           | I tried to call ask why I got this bill, but it was Friday,
           | already closed. I didn't have a job and experience back then
           | so this was horrifying. I was running through scenarios of
           | having to work years to pay this off because of some stupid
           | mistake (or hiding from US government for life). So I called
           | a laywer who asked for initial $5000. I've met another person
           | who wanted to help me for cash $2000. I though it is a joke,
           | because I was barely making a living.
           | 
           | Fortunatelly I didn't fall for that and waited until Monday.
           | I called again and lady explained that they always send the
           | bill for first option and we have to remember if it is
           | correct or not. So at the end there was no tax to be payed. I
           | immediately closed the company.
           | 
           | What can you do...
        
             | ridethebike wrote:
             | oh yeah, IRS, they still owe me $3k. Thanks for the
             | reminder :)
        
           | jandrese wrote:
           | I get sent a deceptive bill every time I use the hospital. I
           | think the idea is to show you what they are billing your
           | insurance (not what insurance pays in the end), but it is
           | always marked as "payment due" even though the insurance is
           | going to foot the bill.
        
             | codegeek wrote:
             | Yea and that's also part of the problem. Most of us ignore
             | this stuff because we have insurance but this is why the
             | racket keeps going. But ultimately, someone pays for it
             | somewhere.
        
           | pydry wrote:
           | Incompetence isn't quite how I'd describe this.
        
             | Gibbon1 wrote:
             | There is nothing about the system that rewards competence
             | on the financial side of healthcare.
             | 
             | Billing is based on what they can force people to pay. Not
             | on what services actually cost. One downside of that is
             | they have no control on how much things cost.
        
           | codegeek wrote:
           | I wonder if there is any law here that protects consumers ?
           | It is atrocious that a hospital/doctor/clinic can send you
           | any absurd bill/amount and then it is on YOU to fight and
           | prove that it was incorrect. I have done it many times
           | myself.
        
         | JJMcJ wrote:
         | Most emergency room bills can get 1/2 or more knocked off just
         | by asking.
        
         | muttantt wrote:
         | You over paid even with the $1,500. You could have waited a few
         | months and they would have been happy with $400.
        
         | ryneandal wrote:
         | The majority of Americans aren't in a position to cut a $1,500
         | check like that. That's one of the major issues here.
        
           | throwkeep wrote:
           | The majority of Americans engage in lifestyle inflation.
           | That's a major issue generally.
        
           | MeinBlutIstBlau wrote:
           | The majority of americans also don't know that there is a
           | concept called "saving money." I mean I understand why it is
           | some people are broke and it's not their fault and I get
           | that. However, I've more than encountered people living above
           | their means more than I have people in poverty beyond their
           | control. This is speaking as someone whose worked in banking
           | for about 5 years. Too many people with FOMO end up ruining
           | their lives.
        
           | caturopath wrote:
           | Note that the median net worth of an American household is
           | ~120k.
           | 
           | Obviously $1500 is a lot of money and it's not easy to come
           | up with for normal folks and obviously there are millions of
           | poor people, but the US is one of the wealthiest nations on
           | Earth, and it's sometimes overemphasized how broke the
           | average American is. Other than a few small European
           | countries, the US has the highest median household incomes in
           | the world, higher than any other large country like Germany,
           | France, the UK, Canada, Japan, or Australia.
        
             | KittenInABox wrote:
             | Also Germany, France, UK, Japan, Canada, or Australia
             | doesn't have the medical/student debt so I don't know if
             | its so easy to assume that just because americans earn more
             | that they pocket more.
        
             | jrochkind1 wrote:
             | > Note that the median net worth of an American household
             | is ~120k.
             | 
             | Having a net worth of $120K doesn't actually mean you can
             | easily pay an unexpected $1500 bill. It might mean you have
             | a house worth $100K and a car worth $10K and a retirement
             | account with $10K in it, and just enough to cover your
             | payments in the bank.
             | 
             | I know there are LOTS of Americans who can't easily pay an
             | unexpected $1500 bill, but I don't know if it's more or
             | less than than 50% of Americans, and median net worth
             | doesn't really tell us.
        
             | sofixa wrote:
             | > Note that the median net worth of an American household
             | is ~120k
             | 
             | That sounds pretty decent, but the grouped by
             | age/location/education level medians are show that there
             | are still a lot ( as a percentage) of people with low net
             | worths in certain groups. And even then, net worth doesn't
             | mean money in the bank - most people wouldn't and shouldn't
             | have to sell their house or car to be able to afford a
             | medical emergency ( even though i agree that if you have a
             | $120k net worth, you should be able to save money on the
             | side, but i wouldn't be surprised if there are situations
             | where that's hard ( e.g. house bought years ago, a
             | household member without a job, friend/family/only
             | remaining job are in the area)).
             | 
             | https://www.businessinsider.com/personal-finance/average-
             | ame...
        
               | gruez wrote:
               | >And even then, net worth doesn't mean money in the bank
               | 
               | According to this[1] the median family has $5k in the
               | bank.
               | 
               | [1] https://www.federalreserve.gov/econres/scf/dataviz/sc
               | f/chart...
        
               | caturopath wrote:
               | > That sounds pretty decent, but the grouped by
               | age/location/education level median
               | 
               | The poster said "the majority of Americans", not "the
               | majority of young Americans with less education" or
               | something, so I talked about the median, explicitly
               | acknowledging the presence of millions of people who are
               | poor.
               | 
               | > most people wouldn't and shouldn't have to sell their
               | house or car to be able to afford a medical emergency
               | 
               | If someone needs money from their house, they don't have
               | to sell it.
               | 
               | The median non-primary-residence net worth in the US is
               | 40k. I still think it's silly to pretend $1500 is
               | unthinkable for the majority of Americans like it is for
               | the minority of people in America who are poorer than
               | most others.
               | 
               | > ( even though i agree that if you have a $120k net
               | worth, you should be able to save money on the side, but
               | i wouldn't be surprised if there are situations where
               | that's hard ( e.g. house bought years ago, a household
               | member without a job, friend/family/only remaining job
               | are in the area)).
               | 
               | Paying large bills is hard, especially with all the stuff
               | life throws at you. I didn't mean to imply otherwise.
        
               | jrochkind1 wrote:
               | > Just 39% of Americans could pay for a $1,000 emergency
               | expense
               | 
               | > * Fewer than 4 in 10 people have enough savings to pay
               | for an unexpected $1,000 expense in cash.
               | 
               | > * The rest would have to borrow, use a credit card or
               | take out a personal loan.
               | 
               | > * While the pandemic has set back emergency savings,
               | many people are optimistic their finances will improve in
               | 2021.
               | 
               | https://www.cnbc.com/2021/01/11/just-39percent-of-
               | americans-...
               | 
               | But sure, many of those could take on debt to do it, as
               | the summary says, true.
               | 
               | Medical debt is a leading cause of bankruptcy in the US.
               | (No, I'm not saying $1500 alone is going to cause a
               | bankruptcy.)
        
               | anchpop wrote:
               | The bankruptcy stat is that ~60% bankruptcies were
               | contributed to by medical issues or debt. Here is the
               | study it comes from: [0]. Many people misquote this as
               | the bankruptcies having been _caused_ by medical debt.
               | For example, the 60% stat includes income loss due to
               | illness (40% of bankruptcies involved this). Only for
               | about 30% of bankruptcies did the debtor actually say
               | medical bills were a reason for the bankruptcy.
               | 
               | This is not to say the healthcare system in the US has no
               | flaws. But it bothers me that a stat which found "loss of
               | income due to illness" was _more common_ among
               | bankruptcies than medical bills greater than $5k or 10%
               | of pretax income (~35%), constantly gets construed as
               | "medical debt is responsible for 60% of bankruptcies"
               | when debt doesn't even appear to be the largest factor of
               | medical-related bankruptcies.
               | 
               | And this misconception is everywhere. This article [1]
               | says "The same researchers' 2009 study claimed that 62.1%
               | of all bankruptcies were caused by medical bills." and
               | was the top result on google when I searched
               | "bankruptcies caused by medical debt".
               | 
               | Even Bernie Sanders [2] doesn't get it right, saying that
               | "500,000 people go bankrupt every year _because they
               | cannot pay their outrageous medical bills_." 500,000 is a
               | little over 60% of the 750,000 bankruptcies that happen
               | every year, and his campaign said they were referencing
               | this study. I think there's a meaningful difference
               | between losing income due to not working while you're
               | sick and not being able to pay your "insane medical
               | bills".
               | 
               | Also, other studies have found much lower numbers, but I
               | guess they aren't as fun to quote. This is mentioned in
               | the washington post article I linked:
               | 
               | > "Based on our estimate of 4 percent of bankruptcy
               | filings per year and the approximately 800,000 bankruptcy
               | filings per year, our number would be much closer to
               | something on the order of 30,000-50,000 bankruptcies
               | caused by a hospitalization," one of the co-authors of
               | the NEJM study, economist Raymond Kluender of Harvard
               | Business School, wrote in an email
               | 
               | > "This would lead us to be skeptical of the 500,000
               | medical bankruptcies statistic, but that very much
               | depends on how one defines a medical bankruptcy. ... An
               | enormous share of households have some amount of medical
               | debt, so any survey of individuals will report a high
               | share of them have medical debt but this does not imply
               | that the debt caused them to file for bankruptcy."
               | 
               | Again, not saying any of this is fine, just that if we're
               | talking about solutions it's probably wise to at least
               | represent studies accurately.
               | 
               | [0]: https://www.amjmed.com/article/S0002-9343%2809%29004
               | 04-5/pdf
               | 
               | [1]: https://www.thebalance.com/medical-bankruptcy-
               | statistics-415...
               | 
               | [2]: https://www.washingtonpost.com/politics/2019/08/28/s
               | anderss-...
        
               | jrochkind1 wrote:
               | fair!
               | 
               | > "Only for about 30% of bankruptcies did the debtor
               | actually say medical bills were a reason for the
               | bankruptcy."
               | 
               | That would still be a lot!
               | 
               | > ""Based on our estimate of 4 percent of bankruptcy
               | filings per year"
               | 
               | ...but 4% is a much smaller number than 30%. Is it
               | actually more like 4%? I guess statistics aren't
               | simple....
               | 
               | > "An enormous share of households have some amount of
               | medical debt, so any survey of individuals will report a
               | high share of them have medical debt but this does not
               | imply that the debt caused them to file for bankruptcy
               | 
               | I guess I'd be interested in the average medical debt
               | numbers among those filing for bankruptcy vs the average
               | medical debt numbers among those _not_ filing for
               | bankruptcy? To have a sense of what role medical debt may
               | play?
               | 
               | I feel safe in continuing to think that medical debt is a
               | significant burden for many people in the USA (and
               | therefore that "most people can afford that bill by going
               | into debt" is a terrible solution), but that's a much
               | more vague statement, i respect your point about being
               | accurate with statistics.
        
             | jdmichal wrote:
             | Net worth is deceptive, because that's going to include
             | illiquid assets such as housing. Are people supposed to
             | take out a HELOC to pay their medical bills?
        
               | caturopath wrote:
               | Median net worth in the US not including primary
               | residence (an odd choice considering this is many folks'
               | largest asset and is easily used to pay for things) is
               | 40k.
               | 
               | It is silly to pretend like $1500 is not a possibility
               | for "the majority of Americans". Certainly I do
               | acknowledge explicitly in my post that there are millions
               | of poor people in America.
        
               | ticviking wrote:
               | Most of which is probably in a retirement account, or
               | cash value insurance policy.
        
             | ticviking wrote:
             | And most of that is likely in home equity or a 401k, not
             | something liquid that can be used to pay for an emergency.
        
         | maxmcd wrote:
         | Yes, I've also heard that alternatively you can just wait for
         | them to send it to a debt collector and they will happily
         | negotiate with you as well.
        
           | caturopath wrote:
           | If they've sold the debt to a debt collector, don't interact
           | with them at all unless they literally sue you. There's
           | really nothing to be gained by paying a debt collector.
        
         | hackeraccount wrote:
         | Hospitals have incentives to have a high sticker price - it
         | benefits everyone. The insurance companies negotiate to
         | something closer to the "real" price. That makes them happy.
         | Government through Medicaid/Medicare has a way of giving money
         | to hospitals. Customers only care about the out of pocket cost
         | - indeed if they happen to notice the sticker price it'll only
         | be after they know what they're actually paying - so that will
         | actually make them happy.
         | 
         | There's a very small group. 5% or so of people, those who don't
         | have private insurance and aren't on the public insurances -
         | edicare/Medicaid/VA - . Those people are actually in a position
         | where they get to see the sticker price but might have to
         | actually pay it.
         | 
         | Which sucks.
         | 
         | But I don't see how that changes. The people getting abused are
         | - despite what you might hear - are small in number, typically
         | healthy and not particularly poor or old. The ACA actually went
         | after those people - that was what the mandate was about - and
         | tried to get them to buy a lot of insurance. More insurance
         | then they wanted - and the end result was that the mandate's
         | been effectively gotten rid of.
        
           | noelsusman wrote:
           | Part of the issue is that Medicare and especially Medicaid
           | pay providers below cost for services. That money needs to be
           | made up somewhere. Private insurers pay above cost, but they
           | have too much leverage to get squeezed by the hospitals. That
           | leaves uninsured patients to hold the bag. They could try to
           | cut costs, but that puts them at a competitive disadvantage
           | because most patients don't actually care about how much
           | their care costs, they only care about how much they have to
           | pay.
           | 
           | If you're an uninsured patient who isn't in poverty then
           | hospitals are going to squeeze you for as much as they can
           | get away with. It's how they keep the lights on. None of this
           | makes any real sense, but hospitals are just doing what they
           | have to do to survive in the system we've created for them.
        
           | zerd wrote:
           | Plus out of network emergency visits, which isn't uncommon
           | https://www.kff.org/health-costs/press-
           | release/about-1-in-6-...
        
         | jrochkind1 wrote:
         | Good luck getting a price like this in writing in advance. I
         | have not been able to get doctors or hospitals to tell me what
         | a procedure would cost in advance _at all_.  "So you're telling
         | the only way to find out how much it will cost is to get it
         | done and then see the bill?" "Right".
         | 
         | An actually useful law might be:
         | 
         | Before an elective procedure, they need to give you the price
         | in writing.
         | 
         | The actual price transparency law does not seem to have
         | resulted in any price transparency.
        
           | ddingus wrote:
           | Medical risks and unknowns are very high, and to make profit
           | metrics, they need to push all risk onto the patient.
        
         | codegeek wrote:
         | stories like this clearly prove what a racket our health
         | insurance/billing system is.
        
           | teeray wrote:
           | It always amazes me when I go to the vet with my dog, I get
           | an itemized bill for medical services immediately. That
           | really exposes the BS of figuring out prices once they've
           | sent it to insurance, months go by, and then finally you get
           | a final bill. It doesn't have to be that way.
        
         | jollybean wrote:
         | It's worth mentioning this is not a fraud deigned by the doctor
         | per say.
         | 
         | They are removed from all of that, and don't care about prices.
         | It's beyond them.
         | 
         | So they just give you a number.
         | 
         | Because there is this big 'goodwill' aspect to healthcare, the
         | professions don't think about it as capitalist, but the
         | hospital is actually pretty aggressive and take advantage of
         | the goodwill aspect.
         | 
         | The US needs a massive overhaul there and it's not about
         | socialism or capitalism, but about simple and hard regulations.
        
         | benjohnson wrote:
         | I'm glad it worked!
         | 
         | As I understand it, marking your check "paid in full" combined
         | with the cover letter is what potentially worked for you.
         | Simply writing "paid in full" on the check generally isn't
         | sufficient.
         | 
         | More info form real attorneys (unlike me)
         | 
         | https://www.lawyers.com/legal-info/consumer-protection/banki...
        
           | thaumasiotes wrote:
           | That link doesn't support your interpretation at all:
           | 
           | > If you try this approach on a credit card debt, it's
           | unlikely to work. Why? Because you probably won't be able to
           | show that the amount owed is uncertain. You'll be held
           | responsible for the amount that you charged--a number that's
           | likely relatively simple to figure out. On the other hand, if
           | you're working with a contractor and you disagree about how
           | many hours it took to finish a job or the supplies necessary
           | to complete a project, you might be able to satisfy this
           | requirement.
           | 
           | The article makes no mention of a cover letter. They stress
           | two things:
           | 
           | 1. The amount owed must be subject to dispute. The hospital
           | obviously satisfies that requirement.
           | 
           | 2. The phrase "paid in full" was visible in an obvious
           | manner.
           | 
           | That's it.
        
             | bluefirebrand wrote:
             | The cover letter illustrates that the amount is in dispute
             | in writing. It is likely important in order to satisfy 1.
        
               | thaumasiotes wrote:
               | No, the phrase "paid in full" illustrates that the amount
               | _is_ in dispute.
               | 
               | What you need is for the amount to be _subject to
               | dispute_. See how the example they give of an invalid
               | attempt to do this is a credit card bill, specifically
               | because the amount of the claim is fully objective?
               | 
               | The cover letter doesn't add anything there.
        
       | conorh wrote:
       | My wife is trying to work on price transparency at her practice
       | by offering bundled rates for the surgery she does. She has
       | worked with all the various providers - anasthesia, pathology,
       | the hospital etc to come up with a cash rate that she publishes
       | on her website for the surgery. Most of the parties are very open
       | to it but also extremely worried about outliers. Patients that
       | end up costing 10x what was expected due to complications. For
       | her this is a minuscule risk, but in her negotiations it has been
       | their main worry.
        
         | bobduke wrote:
         | Have the _providers_ buy insurance to cover those rare 10x
         | cases and add that insurance fee to the cost of the procedure.
         | 
         | The patient gets an "out the door" price and those most
         | qualified (doctors and insurance companies) can argue about the
         | actual cost.
         | 
         | Even if the costs ended up exactly the same, the patient would
         | not be stressed by the "surprise" bills and out-of-network
         | nonsense.
        
         | comeonseriously wrote:
         | > Patients that end up costing 10x what was expected due to
         | complications. For her this is a minuscule risk, but in her
         | negotiations it has been their main worry.
         | 
         | And that's probably one of the biggest reason hospitals don't
         | want to talk about actual costs. If you tell someone it's going
         | to cost $X for removing their appendix, but they have a heart
         | attack on the table it's not going to cost $X any more.
         | 
         | Doesn't make lack of transparency right, but in this scenario,
         | I can sort of see why.
        
           | KingMachiavelli wrote:
           | That doesn't make much sense. You can have a price for
           | whatever complication occurred. Does the insurance/billing
           | code system not already have a method for listing
           | emergency/ad-hoc complications & procedures? It must have
           | that otherwise there would be no way to bill in those cases
           | currently.
           | 
           | e.g an emergency during surgery would normal get XXXX billing
           | code so just publish what you charge for that XXXX billing
           | code.
        
           | fallingknife wrote:
           | But a hospital doesn't do 1 surgery, they do thousands. So
           | that one 10x doesn't really change the average cost very
           | much. This is just an excuse by the hospital.
        
             | SilasX wrote:
             | Exactly. Every other industry in existence is able to
             | package up and manage the outlier risk, but somehow, here,
             | it's "different".
        
           | loonster wrote:
           | That is the entire purpose of insurance. One of the line
           | items should be <procedure insurance>.
        
           | BurningFrog wrote:
           | It _does_ genuinely make it hard to price something if it
           | almost always costs $3000, and very rarely $1M.
        
         | tooltower wrote:
         | Yet, this is somehow not a problem in any other country. That
         | amount of outlier cost is priced in, like many other
         | businesses.
        
         | adolph wrote:
         | You might be interested in the below podcast if you haven't
         | already heard it:
         | 
         |  _Entrepreneur and Anesthesiologist Keith Smith of the Surgery
         | Center of Oklahoma talks with host Russ Roberts about what it
         | 's like to run a surgery center that posts prices on the
         | internet and that does not take insurance. Along the way, he
         | discusses the distortions in the market for health care and how
         | a real market for health care might function if government took
         | a smaller role._
         | 
         | https://www.econtalk.org/keith-smith-on-free-market-health-c...
         | 
         | https://surgerycenterok.com/blog/
        
           | hackeraccount wrote:
           | ha! I just put a link this to further down thread. It was a
           | great podcast, right?
        
             | adolph wrote:
             | It was and I've gone back and relistened to it because it
             | is such an important topic--this whole thread is people
             | opining on how things are bad and how this and that should
             | change--that Oklahoma anesthesiologist is going out there
             | and doing something about the problems he saw in the
             | economic model of medicine.
             | 
             | Edit: anesthesiologist replaced surgeon
        
           | dennis_jeeves wrote:
           | Also mentioned in an earlier post:
           | https://news.ycombinator.com/item?id=27517126
        
         | loonster wrote:
         | That sounds like something an insurance company could fill the
         | void. Other industries have insurance charged for each job
         | based on what the job entails. Surgery should be no different.
        
           | ethbr0 wrote:
           | The issue with US health insurance in general is that (a)
           | it's not understood by the public as insurance, but rather as
           | access to group rates, & (b) it's utility is proportional to
           | the number of counterparties it covers (more doctors, more
           | useful), which opens it up to a huge amount of abuse (doctor
           | you've only done 3 transactions with over the past 5 years is
           | vastly inflating fees on all).
           | 
           | What should _probably_ happen is something akin to the
           | housing market: backstop consumer insurance companies with
           | re-insurers (semi-supported by the government) who buy and
           | back compliant policies and providers.
           | 
           | Allowing consumer insurance companies to bound their risk and
           | offer more reasonable rates.
           | 
           | I _think_ ACA has a provision in there for catastrophic cases
           | falling off the insurers ' books onto someone else's, but
           | it's been awhile since I read through it.
        
         | prepend wrote:
         | What about patients that end up costing .1x?
         | 
         | There's risk of expensive patients but that should be easier
         | born by the practice than the individual.
         | 
         | I suggest she talk to anyone who runs a buffet restaurant since
         | there are ways to plan around.
        
           | sgent wrote:
           | Most providers have a pretty good idea what the lower bound
           | will be, its the upper 5% they may have no idea about.
           | 
           | Pathology maybe usually $100 for a tissue exam, but I've seen
           | a routine mole biopsy need $1,500+ (wholesale) exams after
           | referral to an academic center because there was something
           | off that required further workup. This happened 1 time in 10
           | years.
           | 
           | Anesthesia knows that a breast augmentation will usually be
           | no less than $X, but if the patient has an anesthesia
           | reaction and decompensates and needs 4 hours of one on one
           | time with an MD its going to be a lot more. Very, very rare.
           | 
           | You get the idea, its often not possible to know until you do
           | the procedure. Even more when surgery is involved because
           | imaging is not 100% and you may wind up with a much more
           | complex procedure than you bargained for once you cut someone
           | open, or a complication like a perforated bowel during
           | colonoscopy, etc.
           | 
           | Finally, most of these people don't talk to each other -- so
           | the pathologist has no idea what the surgeon is charging and
           | neither of them the hospital nor radiologist.
        
             | prepend wrote:
             | That makes sense that there's variability, many products
             | have this. Not every single transaction needs to be
             | profitable, only the aggregate.
             | 
             | If pathology is normally $100 and yet some cost $1500 then
             | factor that into the cost based on the probability. Or
             | insure against it. Etc etc.
             | 
             | These aren't novel problems to the medical space, it's just
             | that there aren't normal pressures forcing them to handle
             | it.
             | 
             | Apple charges $79 for an insurance claim to replace my
             | iPhone whether it costs them $1 or $1000 to correct.
             | Imagine if they had an asterisk that sometimes it cost lots
             | more than $79.
             | 
             | Someone else linked to the Surgery Center of OK [0] that
             | has "solved" this problem. There's a great episode of
             | econtalk with Keith Smith [1] where they talk about this.
             | Including examples almost exactly like how you call out.
             | 
             | [0] https://surgerycenterok.com/
        
           | majormajor wrote:
           | > What about patients that end up costing .1x?
           | 
           | I imagine X here is more of a lower bound than anything else
           | - which is where the problem comes in with up-front pricing.
           | 
           | It's like up-front "how long will this feature take" quotes
           | from developers. Doable, but very difficult to truly
           | accurately estimate.
           | 
           | Doing this on historical data - where the range likely ends
           | up more like .8x to 10x - would be the only sane way, vs
           | trying to come up with it from first principles.
        
             | ethbr0 wrote:
             | And for the same reason that software estimates suck.
             | 
             | The lower bound is quantifiable: if everything goes as
             | expected, and this is all the work, then project time is
             | the sum of each piece's time.
             | 
             | But the upper bound is unknowable. If a thing that we don't
             | know about happens, how long will it take to solve, if a
             | solution is possible? And what portion of the project will
             | it involve?
             | 
             | But that's really a gripe about PMs not understanding
             | compositions of multiple normal distributions.
        
             | willcipriano wrote:
             | I never got the impression that price differences are a
             | function of billable hours but instead some vague notion of
             | complexity. I don't think that 10x billed surgery consumed
             | anything close to ten times the hours and materials.
             | 
             | This would be akin to developers saying "Yeah it only took
             | me 40 hours but it was harder then I thought so pay me for
             | 400."
        
               | majormajor wrote:
               | My first guess for the cost of a 10x surgery is something
               | like "they didn't recover smoothly so what could've been
               | outpatient is now a 4 day hospital stay that involved a
               | lot more people and resources."
               | 
               | I can't say for sure, though - I've always gotten very
               | detailed itemized breakdowns of all the cost, hospital
               | stay vs surgeon vs anesthesia vs... but I've never
               | compared them against _someone else 's_ bill for the same
               | procedure.
               | 
               | Setting aside the why of the additional expense, the car
               | mechanic model is very similar: you get an estimate, then
               | you get the phone call telling you the additional things
               | they found out, and the new estimate, asking for
               | permission to do or not do the additional things. Though
               | in the case of a surgery where you're knocked out,
               | getting "incremental permission" like that wouldn't
               | really work. You would just have to know the range up
               | front.
               | 
               | But what if the range is so wide to be somewhat useless?
        
               | willcipriano wrote:
               | A good mechanic will tell you "it's $800 to fix the
               | transmission, if the rotors are bad it'll be $1300." and
               | if he finds is estimate is way off, that's his fault so
               | he will take that on the chin and do right by the
               | customer. Same for contractors who work on your home,
               | sometimes you accidentally bid under cost and learn a
               | lesson for next time.
               | 
               | Hospital estimates in the rare case they are provided
               | only seem to get revised in one direction, that seems
               | like having cake and eating it too. If the high school
               | drop out painter can live by his estimates, so can the
               | national hospital chain full of Harvard Business School
               | graduates.
        
       | rob_c wrote:
       | Thank goodness the NHS hasn't gone this route (yet).
       | 
       | Wait I'm sorry, I thought voting Biden was supposed to fix this?
        
       | KoftaBob wrote:
       | "Hospitals were more likely to make their charge data available
       | and to offer a shoppable services tool than to post negotiated
       | rates or cash prices.
       | 
       | The bottom line: "Compliance could be limited because the
       | penalties for noncompliance are minimal (maximum $300 per day)
       | and the costs of disclosure potentially great," the study's
       | authors write."
       | 
       | The penalty for not complying needs to be waaaay higher than
       | $300/day for hospitals to start complying.
        
         | Causality1 wrote:
         | Regulatory fines should all be additive, at a minimum. 300 the
         | first day, then 600, 900, etc.
        
         | hpoe wrote:
         | Ya, what ridiculousness is that. For those curious $300/day is
         | $109,500, that's the cost to just shaft the IT department on a
         | new employee and pay the fee and you'll come out ahead
         | financially.
        
         | jcowdy wrote:
         | The fine is depressing and invalidates much of the benefit and
         | work that went into passing the rule. Until the fine amount is
         | increased (which I suspect may take quite some time if it ever
         | happens) compliance will continue to be low without some other
         | external pressure on the health systems. Are there any tools /
         | organizations that are aggregating this data for consumers to
         | use for comparison of service pricing? The pressure of
         | consumers may be the best chance we have to drive compliance,
         | but it also seems like a chicken / egg scenario where it will
         | be hard to get enough consumer pressure without more than 25%
         | of health systems releasing their pricing.
        
       | duffpkg wrote:
       | I wrote Hacking Healthcare, created clearhealth open source EMR,
       | a decade plus managing hospitals and multi-practice groups. There
       | are a couple of bad actors out there but for many of these
       | organizations, though it may seem impossible to believe, they
       | really haven't yet been able to coordinate all the entities
       | involved to put together the list. People think of hospitals as
       | monolithic entities but many are much more like medical malls
       | than anything.
       | 
       | Further for many institutions there is a plain cost/benefit. The
       | maximum penalty for non-compliance is $109,500 a year though as
       | far as I know 0 fines have been assessed yet. If you are a large
       | institution it can easily cost many times that to put together
       | and maintain this list in a compliant manner.
       | 
       | Byzantine barely begins to describe the way medical procedures
       | are billed, inpatient especially. It is not at all like a retail
       | interaction. For a given patient on a given insurance program on
       | a given period within a contractual cycle, the rate of charge and
       | reimbursement may differ. Many contracts include a most-favored-
       | nation type clause that mean when one program's reimbursements
       | change then many other ones may need to be updated as well.
       | 
       | I'm not trying to defend any of this but just point out that
       | there is a lot of behind the scenes complexity to the current
       | system that is easy to gloss over when it is thought of in retail
       | terms.
        
       | codegeek wrote:
       | "Compliance could be limited because the penalties for
       | noncompliance are minimal (maximum $300 per day) and the costs of
       | disclosure potentially great"
       | 
       | Lol what a joke. $300/day is like a drop in the ocean for most
       | hospitals/clinics. No wonder no one is complying. Let's add
       | Prison time to executives and see how fast they comply. I
       | absolutely hate dealing with incompetent/fraud billing systems of
       | our healthcare system.
       | 
       | My steps to solve this:
       | 
       | 1. Get rid of health insurance companies in EVERY process. If I
       | want to visit my doctor for a basic checkup, let me pay cash. The
       | cash price should be displayed/known in advance and I can shop
       | around multiple doctors in my area.
       | 
       | 2. With #1, get rid of crazy premiums , copays etc for most of
       | these visits. Boom, u save shit ton. And no, don't argue with me
       | that my employers provides great insurance. You don't want health
       | insurance tied specifically to employers. You should be free of
       | that.
       | 
       | 3. Govt should subsidize the out of pocket costs for going to
       | doctors . Increase a little bit of taxes for this. still a saving
       | because you are saving SHIT TON of money when not paying crazy
       | premiums etc. FOr those who argue otherwise, let me give you an
       | example. For a family of 4, my total cost for an ok insurance is
       | $2200/Month. This amount has to be paid regardless of whether I
       | see a doctor or not. Then comes the copays, deductibles etc.
       | Amounts can vary based on how "great" your plan is but the fact
       | here is that shit tons of money is being paid to insurance
       | companies for doing nothing and being a middleman. Get rid of
       | this and you can add a small progressive tax instead. Will gladly
       | pay that because I for sure wont pay $25,000 premiums per year
       | and another $5000 in deductibles BEFORE i get a single penny from
       | insurance companies. Oh and this keeps the price gouging racket
       | going.
       | 
       | 4. Let insurance companies stay in the market for "nice to have"
       | procedures.
       | 
       | Imagine if Car insurance became like health insurance. Who wants
       | to argue that prices won't go up for EVERYTHING including a basic
       | oil change.
        
         | sircastor wrote:
         | I agree that health insurance companies should go, but I don't
         | know how we could accomplish this. Health insurance is a
         | Trillion dollar industry, and that means there are a lot of
         | people making a lot of money that have a lot of incentive for
         | everything to stay exactly as it is.
        
       | sithlord wrote:
       | There are roughly 6,000 hospitals in the US - they sampled 100
       | and concluded 17% of those were fully compliant.
       | 
       | My question is, is that even CLOSE to enough of a sample size to
       | make any meaningful statement?
        
         | tfehring wrote:
         | Depends on what you consider "meaningful" I suppose...but yes,
         | as long as the sample's representative. You can do a lot with
         | n=100 - unless the authors cherry-picked it would be incredibly
         | unlikely for them to find 83/100 non-compliant hospitals by
         | chance if there are only, say, a few hundred non-compliant
         | hospitals.                   $ R -q -e "binom.test(17, 100,
         | p=0.9, conf.level=0.999)"         > binom.test(17, 100, p=0.9,
         | conf.level=0.999)                   Exact binomial test
         | data:  17 and 100         number of successes = 17, number of
         | trials = 100, p-value < 2.2e-16         alternative hypothesis:
         | true probability of success is not equal to 0.9         99.9
         | percent confidence interval:          0.06925006 0.32125658
         | sample estimates:         probability of success
         | 0.17
         | 
         | Of course, there would be potential for "not fully compliant"
         | to be insignificant for practical purposes (e.g. if it included
         | hospitals that just missed a couple of billing codes), but
         | based on TFA that doesn't seem to be the case.
        
       | tolstoshev wrote:
       | I get better price transparency at the vet than I do at any
       | facility for humans.
        
       | skeletal88 wrote:
       | And where I'm from the state health organisation where everyone
       | is insured sets the prices for all the procedures. If hostpitals
       | want to get paid by them, then these are the prices they will be
       | paid. It works, it's simple. Prices are adjusted based as time
       | goes by, the hospitals make a small profit, but they are mostly
       | non-profits run by the cities or universities.
        
         | sircastor wrote:
         | This is how Medicare works in the United States. The group sets
         | the price and that's what Medicare pays.
         | 
         | I recall a few years ago hearing about a company that, instead
         | of getting a health insurance plan, hired a law firm to
         | counter-negotiate (through legal threats) all bills down to
         | Medicare prices, which apparently saved money.
        
       | costcopizza wrote:
       | Any startups addressing this somehow?
       | 
       | Or is the regulatory framework waaaaay too favored towards
       | incumbents to even fight?
       | 
       | This shit is beyond frustrating. Healthcare could actually be
       | semi reasonable if prices were as transparent as other
       | industries.
        
         | bob33212 wrote:
         | The hospitals and the insurance companies do not want this to
         | happen. Some politicians may want this to happen but others
         | don't so the regulations are not forcing this to happen.
         | 
         | It isn't something that software can fix.
        
           | tolbish wrote:
           | Could software help identify hospitals and insurance
           | companies who are engaging in this?
        
             | jrochkind1 wrote:
             | Probably, but who would pay for it? I don't know if it
             | takes software, the OP did it fine on their own.
        
         | jehlakj wrote:
         | I'd be surprised to hear successful startups with all these
         | regulations
        
         | ProAm wrote:
         | Like an Uber for hospitals?
        
         | OminousWeapons wrote:
         | It is a difficult problem because there is no one price to
         | show. Almost every user might be shown a different price.
         | 
         | To my knowledge, at many orgs, insurance is actually funded
         | directly by the employer; they do not contribute to a massive
         | general pool along with other orgs. That individual employer
         | helps set rates and coverage for their individual plan, and
         | they might hire a big payer (insurance company) like Blue Cross
         | Blue Shield to administer the plan that they created. This
         | means that every single employer might have different payment
         | rules and rates for a given procedure or item, and rates can
         | also be hospital dependent or provider dependent. Additionally,
         | many insurance companies require pre-approval (prior
         | authorization AKA prior auth) for more expensive procedures or
         | procedures / meds that are being prescribed outside of normal
         | practice. This requires the provider (doctor) to call the payer
         | (insurance provider), explain the situation, and see if a
         | certain procedure will be covered. Before this is done, it is
         | impossible to quote a price. Finally, we also have a class of
         | people without insurance.
         | 
         | So can real time price quotes be done? Maybe, but it would be a
         | lot of work. The big payers do have API endpoints you can hit
         | to get coverage information for a given user and I believe
         | pricing data for a given procedure for that user. There are
         | also clearing houses of sorts which can help you route traffic
         | to the right endpoint. You would still need to get pricing data
         | from hospitals which largely aren't interconnected for users
         | without insurance and also deal with the prior auth situation.
        
         | dmitriid wrote:
         | Isn't it obvious that this cannot be solved by startups?
        
           | loonster wrote:
           | But it can be solved by startups: Procedure Insurance.
        
           | AlexB138 wrote:
           | It's always obvious that something can't be solved by a
           | startup until it is. That's what "disruption" and
           | "innovation" are.
        
             | ryneandal wrote:
             | It doesn't need disrupted, it needs to be criminalized. The
             | application of capitalism in circumstances where the
             | alternative is illness and/or death is tantamount to
             | extortion.
        
               | missedthecue wrote:
               | So should we nationalize the farms to keep the dirty
               | capitalists off of our food supply?
        
               | ryneandal wrote:
               | No legitimate rebuttal other than a whataboutism.
               | Blocked.
        
               | f6v wrote:
               | The German healthcare insurance is basically run by the
               | state. The healthcare is slow and far from perfect
               | overall. But I didn't hear as many people complaining. I
               | never paid for a hospital visit or a surgery. My only
               | expenses were 10 euro/day for hospital stay that included
               | free meals and 2-patient room with our own bathroom.
        
             | jandrese wrote:
             | Some kind of Expedia for hospitals? Some company that
             | somehow extracts the actual price information from the
             | hospitals and lets you comparison shop?
             | 
             | Ultimately this is a technological solution to a political
             | problem. It's going to be difficult to implement and face a
             | lot of pushback from the entrenched incumbents.
        
           | Sr_developer wrote:
           | Wait arent you willing to put your health on the hands of the
           | people who brought us Theranos, pets.com, and a DRM-laden
           | juice-squeezer?
           | 
           | "Unfortunately this transfusion cannot be given to you
           | because there is a mismatch between its version and the
           | versions approved in your database record. Please contact a
           | representative or call our support line"
        
         | f6v wrote:
         | > Any startups addressing this somehow?
         | 
         | With the amount of money at stake, I'd imagine organizations
         | and politicians would bury any startup before you say "Seed
         | round".
        
         | mkmk wrote:
         | https://turquoise.health/ is one notable example.
        
         | arwhatever wrote:
         | I would accept a life-saving medical intervention that drained
         | my life savings if I were convinced that the price were
         | competitive and fair.
         | 
         | But under our current system, this could not be further from
         | the case.
        
       | epmaybe wrote:
       | The price transparency rule was kind of useless already in the
       | setting of most people being insured, it doesn't really tell
       | people how much they are going to end up paying.
       | 
       | I want to start a site that lets people submit their explanation
       | of benefits from their insurance company and eventually lets
       | people shop for insurance and/or hospital/clinic based on what
       | they end up having to pay.
        
       | deregulateMed wrote:
       | 130 years of medical regulations by Physicians and it's broken.
       | 
       | Any solution is politically impossible because the medical
       | cartels can lobby(read-bribe) politicians.
       | 
       | My only idea is for a tech company to use AI/Science to diagnose
       | and treat. I imagine the physician cartel will attempt to ban
       | competition, but as long as they are correct more often than
       | physicians, writing is on the wall.
       | 
       | Reminder physicians created the opioid epidemic.
        
       | terryjsmith wrote:
       | I did some research into this for my current employer and the
       | challenges are pretty well laid out here: the penalties are
       | minimal ($300 / day or $~110,000 per year), the data is kept in
       | the invoice or billing systems, which are complex, and the
       | hospitals do not want to share the truly groundbreaking data,
       | which is the per-provider costs.
       | 
       | In addition, when you Google for competitors you don't find a lot
       | of them, but once you start looking at hospital websites you find
       | that quite a few of them (about 50% of the ones I looked at) have
       | at least a partial solution, often provided by their analytics
       | company as an add-on or footnote.
       | 
       | It does not appear there is a great market opportunity here
       | unless the penalties increase (which the CMS has talked about
       | vaguely, but hospitals are already asking for relief until after
       | the pandemic).
        
         | ethbr0 wrote:
         | I worked in health care IT (insurance / provider side) during
         | ACA's implementation.
         | 
         | My takeaway is that Congress is technically ignorant of how
         | ossified these backend systems are, but the enforcement
         | agencies (e.g. CMS) are the grease between law and
         | implementation.
         | 
         | F.ex. ACA language and guidance being tweaked right up until
         | the supposed "must be compliant by" date.
         | 
         | Generally speaking, it works about as well as one might hope.
         | All the stakeholders get together, hash out a reasonable
         | schedule for actual implementation, and then everyone generally
         | works towards that.
         | 
         | It helps that the relationships are generally interdependent,
         | and there's enough money sloshing through the system to fund
         | change. So all parties generally do a fair job at converging on
         | the requested changes, quicker than they'd like, but slower
         | than the government would prefer. And then the few trailing
         | insincere implementers start getting beat with fine sticks once
         | the majority of their peers have successfully implemented.
         | 
         | But agile, it ain't.
        
           | terryjsmith wrote:
           | I agree with everything you said. We're in the ACA space, so
           | this should been right up our alley (government puts new
           | legislation in with penalties to force employers to do
           | something they don't really want to), but the ACA had a much
           | bigger stick and a much longer runway.
           | 
           | Starting January 2023, insurance companies and plan providers
           | need to publish similar data, so to your point that might be
           | the interdependency required for compliance.
           | 
           | Obligatory these views are my own, not my company's.
        
             | ethbr0 wrote:
             | Based on what you know about the system and all parties,
             | curious on any ideas you'd have to speed compliance
             | (without bankrupting anyone).
             | 
             | Would increased fines do it? Compliance bonuses [0]?
             | Something else?
             | 
             | [0] Showing a few of my cards, I was really impressed with
             | the inner workings of the FEP program, from a management
             | perspective. They seemed to have landed on an effective
             | system of fine + incentive that strongly encouraged good
             | behavior and positive results.
        
               | terryjsmith wrote:
               | TBH I didn't dig all that deep. Once you look at the size
               | of the market (~6000 US hospitals, most of them in groups
               | [0]), annual subscription (would need to be some fraction
               | of what they would pay in penalties), percentage of
               | market share you could capture (say 25%), discounts for
               | groups, level of support, investment and unknown source
               | systems, etc., I didn't evaluate it as a viable / likely
               | opportunity, especially outside of our existing market.
               | 
               | All of that said, if you knew the space and backend
               | systems and could figure out a way to make it easy, one
               | thing I did hear is that hospitals don't like to be non-
               | compliant, so I think they want a solution (or this to
               | just go away), it just needs to be a really minimal
               | investment for them in cost and time to implement and
               | maintain. The provider data coming into play in 2023 may
               | be the main driver to "normalize" some of this being out
               | in the open.
               | 
               | Usual disclaimers again: my views, not my company's.
               | 
               | [0] https://www.aha.org/statistics/fast-facts-us-
               | hospitals
               | 
               | Edit: add source.
        
       | gigatexal wrote:
       | of course not -- price in-transparency and its affects on prices
       | is economics 101.
        
       | underseacables wrote:
       | There's no incentive for hospitals to provide transparency, and
       | less formal doctors to worry about it. For now everyone is
       | getting paid, and the only way to fix the system will be to stop
       | paying many of the middle people that exist just to raise costs.
       | It's like trying to change the car buying industry, there's
       | simply too much money for it to improve without significant
       | regulatory change. I think The transparency idea is just not
       | going to hold water and will eventually be ignored or diluted.
        
       | BurningFrog wrote:
       | The leader in transparent pricing is the Surgery Center of
       | Oklahoma.
       | 
       | Their price list: https://surgerycenterok.com/pricing/
        
         | nemo44x wrote:
         | That's really great, and their prices are very reasonable to be
         | sure.
        
           | TheHypnotist wrote:
           | Is $90,000 for a lumbar fusion reasonable?
        
       | jaredhansen wrote:
       | There is a lot of misunderstanding in this thread. I have a
       | significant expertise on the price transparency rule and
       | hospitals' responses to it, and will try to shed some light.
       | 
       | Disclosure/source: I'm a former lawyer and the founder/owner of
       | ClearCare[0], a price transparency compliance platform for
       | hospitals that's purpose-built to help them solve exactly the
       | requirements of this rule.
       | 
       | I'm actively seeking someone to take it over, as I recently got a
       | once-in-a-lifetime opportunity to join a plant-based bacon
       | company as a cofounder, and I'm taking it. I don't want to shut
       | ClearCare down, but I don't have time to focus on it since the
       | bacon company is growing so quickly.
       | 
       | I was actually pretty shocked to find so few HN-crowd startups
       | tackling this. There's some competition in the market but it
       | isn't very strong, and the distance to, at the minimum, a nice
       | lifestyle-business that does a few hundred $k to a few million in
       | ARR is pretty low. It took about a year to get ClearCare where it
       | is today. The platform is written in React, uses Auth0 for auth,
       | and is currently on Netlify. If you're interested in running with
       | it, please reach out - jared.hansen [ at ] clearcare dot io.
       | 
       | Also one other disclaimer: the following is an
       | oversimplification. Obviously.
       | 
       | ----------------
       | 
       |  _Background_
       | 
       | The Affordable Care Act[1] (aka "Obamacare"), passed by Congress
       | and signed by Pres Obama in 2010, required hospitals to "make
       | public... a list of the hospital's standard charges for items and
       | services provided by the hospital," and to update this list
       | annually. The standard way hospitals met this rule was, for many
       | years, to simply post a link to their chargemasters[2] - which
       | you can think of as, essentially, an almost aggressively user-
       | hostile data dump of opaque billing codes and amounts that didn't
       | actually mean anything for patients.
       | 
       | In June of 2019, Pres Trump signed an executive order[3]
       | requiring the Dept of HHS to create new regulations that would
       | more clearly codify the requirement. HHS' sub-agency CMS created
       | a draft rule in September of 2019, which became final around 14
       | months later.
       | 
       | The AHA sued to block the rule but lost, and the compliance
       | requirement has been live since January 1 of this year.
       | 
       | There are many reasons the Chargemaster rate bears little
       | resemblance to the rate paid by any actual patients, medicare
       | reimbursement rules chief among them. Too much to go into here.
       | 
       | So what _does_ the rule actually require?
       | 
       |  _The Rule_
       | 
       | In short, hospitals must post two things:
       | 
       | (1) a list of Standard Charges (i.e., the chargemaster), for
       | everything. This has to include negotiated rates with each payer
       | (E.g.: Blue Cross pays 7500 for a given kind of knee surgery;
       | Aetna pays 562; United Health pays 812), and the cash discount
       | rate, if any. One thing that's interesting about this list (and
       | overlooked, frankly, by most of the providers in the space) is
       | that it is described by CMS as a "machine-readable file" - and
       | they give examples as CSV, JSON and XML. Historically, hospitals
       | would post chargemasters often as PDF(!), sometimes XLS, txt,
       | csv, god knows what all -- but CMS is trying to move toward a
       | world where you can create an API on top of all of the data and
       | build more of the "kayak for healthcare" tools that the industry
       | has been trying (and failing) to build for so long.
       | 
       | (2) for 300 procedures designated as "shoppable services"
       | (meaning: can be scheduled in advance, and patients might want to
       | shop around), a "user-friendly", "searchable" and generally
       | better-designed disclosure of prices and various other
       | information about the services. CMS designated 70 of these, and
       | hospitals choose the other 230.
       | 
       | *THAT'S IT.* Contrary to popular belief, especially elsewhere
       | ITT, the rule does not require hospitals to provide the kind of
       | price transparency you see elsewhere in life. You just have to
       | post certain kinds of data in certain formats. It's not actually
       | that hard, but it's pretty hard for hospital IT departments to do
       | on their own -- especially IT departments that don't really
       | exist, because they're at small hospitals with small budgets.
       | 
       | =======
       | 
       |  _Misunderstandings ITT_
       | 
       |  _Myth: "The price transparency rule requires hospitals to
       | explain what things cost for patients"_
       | 
       |  _Reality:_ The price transparency rule requires hospitals to
       | list the  "standard", or "chargemaster" price, along with the
       | "negotiated rate" the hospital has reached with each payer.
       | 
       |  _Myth: $300 /day is nothing to hospitals_
       | 
       |  _Reality_ : that's true for large hospital systems maybe, but
       | there are >2k small, rural hospitals that the rule still applies
       | to, regardless of their tiny budgets. For these hospitals,
       | 109k/year is a lot of money (incidentally: this also means that
       | spending say 10k/yr on price transparency saas is a lot more
       | attractive than doing nothing and paying the fine). Moreover:
       | 
       |  _Myth: the fine is the only penalty for noncompliance_
       | 
       |  _Reality:_ CMS has indicated stronger penalties will come if
       | compliance does not increase, including impact on the medicare
       | reimbursement rate, which is a core driver of hospital revenue.
       | Hospitals do have good reason to try to comply, and many of the
       | larger ones are already doing so. In fact, the data show that the
       | larger hospitals are much more likely than smaller ones to be
       | compliant at this time.
       | 
       |  _Myth: this is way too hard_
       | 
       |  _Reality_ : If complying with the rule meant you had to figure
       | out what every patient was going to pay in advance, then yeah, it
       | would be largely impossible right now, for reasons adequately
       | documented elsewhere in this thread. But that's not what it
       | requires. You can comply by posting a very specific, pretty well-
       | understood set of information, which consists largely of a
       | transform on information that each hospital absolutely already
       | has.
       | 
       | ----
       | 
       | I started ClearCare basically the day I read the Trump executive
       | order, because within an hour of hearing about it, it was obvious
       | to me that either 6k+ hospitals would have to do a bunch of
       | bespoke web design to comply, OR there would be a pretty
       | straightforward SaaS platform that would do it for them, and that
       | there was good opportunity in building that platform. I still
       | believe this, and if I weren't busy taking orders for plant-based
       | bacon I'd be recruiting instead of looking for someone to hand it
       | off to. Call me if you want to talk.
       | 
       | ---------
       | 
       | [0] https://www.clearcare.io -- and there's a corporate deck
       | here: https://www.beautiful.ai/player/-McFhWCjOS_FBay_aAy3
       | 
       | [1] https://en.wikipedia.org/wiki/Affordable_Care_Act
       | 
       | [2] https://en.wikipedia.org/wiki/Chargemaster
       | 
       | [3] https://nationalhealthcouncil.org/blog/blog-president-
       | trumps... - note the text of the order is no longer available on
       | the whitehouse site, but this is a decent summary.
        
         | dragonwriter wrote:
         | > for 300 procedures [...] CMS designated 73 of these, and
         | hospitals choose the other 217.
         | 
         | 217 + 73 = 290. Somewhere, there's a mistake in these numbers.
        
           | jaredhansen wrote:
           | Yep, fixed, it's 70 shoppable services and 230 they choose.
        
       | mindslight wrote:
       | I would love to see a coordinated push by people simply refusing
       | to pay hospitals' post facto billing nastygrams. AFAIK, medical
       | "debt" doesn't even end up on your social credit report in the
       | US.
       | 
       | Without any up front prices, there is no contract that obligates
       | payment. Instead, hospitals collect under the idea of "unjust
       | enrichment" - you needed help, they provided it, and so you
       | should compensate them. But that still doesn't allow them to set
       | arbitrary prices the way they do ($6 for a $0.02 aspirin!), but
       | only to recoup their actual costs. A few form letters that
       | billing department victims could use to assert their legal rights
       | would go a long way.
       | 
       | You wouldn't pay a second post-facto bill from your grocery store
       | based on some justification that "the cashier you went to didn't
       | actually work for the grocery store", and we shouldn't accept
       | similar nonsense from medical providers.
        
         | CPLX wrote:
         | I totally agree with the sentiment here but is this actually
         | true? My understanding is that health care providers have
         | legislative power and influence and have used it to actually
         | ensure that a legal obligation to pay is created in situations
         | like these.
         | 
         | Is that not correct? Would they actually sue under an unjust
         | enrichment cause of action, or is there statutory authority
         | most of the time?
        
           | mindslight wrote:
           | I would believe that could be the case, at least in some
           | states. But on that front, all of these articles about
           | terrible hospital bills are doing a grace disservice by
           | failing to mention those laws, so that public support can
           | build against them. If _anyone_ were given the power to
           | create legally valid debts out of thin air, they would of
           | course abuse it. Preventing that is one of the main purposes
           | of contract law.
        
             | hansvm wrote:
             | > If anyone were given the power to create legally valid
             | debts out of thin air, they would of course abuse it.
             | 
             | Which, incidentally, does exist in places. E.g., when CO
             | mints a new transportation authority they give a private
             | corporation oversight-free permission to set their own
             | rates and penalties, enforceable by law. That's resulted in
             | a long string of complaints about toll roads charging not
             | just the toll, but for the first bill they never sent, an
             | extra 1000% interest here and there, a fine because they
             | had to "send a second bill," ....
        
         | noelsusman wrote:
         | A lot of people already do this, which is one of many reasons
         | why hospitals charge $6 for an aspirin.
        
           | mindslight wrote:
           | There are other approaches to profitability besides
           | committing billing fraud.
        
       | pchristensen wrote:
       | Dolt, a startup doing a version-controlled database, did a data
       | bounty project and produced a huge dataset of prices for
       | individual procedures at tons of hospitals:
       | https://www.dolthub.com/blog/2021-03-03-hpt-bounty-review/
        
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