4 ms·
> As a provider why accept a lower price from insurance when the gov't is providing a backlog of people at predetermined prices? This isn't even an option on t
by chimeracoder 9y ago
> As a provider why accept a lower price from insurance when the gov't is providing a backlog of people at predetermined prices?
This isn't even an option on the table. Private insurers are generally required by law to pay more than Medicare does.
And besides, Medicare reimburses rates that are below COGS, so providers charge private insurers more in order to make up the difference. Otherwise, they wouldn't be able to accept Medicare patients at all; they'd literally lose money on a per patient basis.
- shanusmagnus 9y agoThis is so important and so little understood: Medicare can demand the prices that it does because other payers will be making up for it. Their low prices create externalities in the rest of the insured market.