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The case of the $629 Band-Aid – and what it reveals about American health care

14 points by dsr12 9y ago

DrScump 9y ago
Clickbait title -- the charge was for an emergency room visit, not just a bandage. Urgent care is generally cheaper. Part of the reason that Emergency Room visits cost a premium is to discourage unnecessary usage.
- tetromino_ 9y ago
  An alternative way to look at it is that ER is able to charge exorbitant fees because the typical ER patient is at an extreme disadvantage in ability to compare prices or bargain. When you are bleeding out or unconscious, you are not exactly in a position to look up different hospitals' fees or call ahead to verify that the doctors on duty are in your insurance's network.
  - stevep98 9y ago
    It’s really impossible to look up the fees even if you want to. They are in a spreadsheet posted online with cryptic codes associated with each charge. You literally need a degree in medical coding to understand it. I didn’t understand my $1200 bill for stitches on my finger, even after I asked the hospital to explain it. I’m really surprised there isn’t some legal mechanism to a) refuse to pay if the charges are not clearly billed or explained and b) the hospital has not sought some kind of consent for a procedure which would cost more than the patient would expect. After all, why stop at $1200 for a cut finger? Why not $12000? Or $12000?
mankash666 9y ago
Multiple reasons for emergency care being more expensive than regular care - not unlike tier 1 support costing more than regular. That said, if the kid were eligible for Medicaid the cost to the family would have been ~0 & the reimbursement to the hospital ~$50. This is significantly below the true cost of emergency care. Aside from the monthly premiums that insurance payees pay, they're subsiding care of others with exorbitantly unfair health care costs. It's triple taxation for those who pay insurance: 1. Standard Medicare payroll tax 2. Insurance premiums 3. Out of pocket payments If you add those 3 components, the true cost of that band aid is ... maybe $1500? Why you ask? Because, American health Care is the most obnoxiously unfair scheme to those that pay into the system.
- deleted 9y ago
  [deleted]

14 points by dsr12 9y ago

Clickbait title -- the charge was for an emergency room visit, not just a bandage. Urgent care is generally cheaper. Part of the reason that Emergency Room visits cost a premium is to discourage unnecessary usage.

tetromino_ 9y ago
An alternative way to look at it is that ER is able to charge exorbitant fees because the typical ER patient is at an extreme disadvantage in ability to compare prices or bargain. When you are bleeding out or unconscious, you are not exactly in a position to look up different hospitals' fees or call ahead to verify that the doctors on duty are in your insurance's network.
- stevep98 9y ago
  It’s really impossible to look up the fees even if you want to. They are in a spreadsheet posted online with cryptic codes associated with each charge. You literally need a degree in medical coding to understand it. I didn’t understand my $1200 bill for stitches on my finger, even after I asked the hospital to explain it. I’m really surprised there isn’t some legal mechanism to a) refuse to pay if the charges are not clearly billed or explained and b) the hospital has not sought some kind of consent for a procedure which would cost more than the patient would expect. After all, why stop at $1200 for a cut finger? Why not $12000? Or $12000?

mankash666 9y ago

Multiple reasons for emergency care being more expensive than regular care - not unlike tier 1 support costing more than regular. That said, if the kid were eligible for Medicaid the cost to the family would have been ~0 & the reimbursement to the hospital ~$50. This is significantly below the true cost of emergency care. Aside from the monthly premiums that insurance payees pay, they're subsiding care of others with exorbitantly unfair health care costs. It's triple taxation for those who pay insurance: 1. Standard Medicare payroll tax 2. Insurance premiums 3. Out of pocket payments If you add those 3 components, the true cost of that band aid is ... maybe $1500? Why you ask? Because, American health Care is the most obnoxiously unfair scheme to those that pay into the system.

deleted 9y ago
[deleted]