3 ms·
> If we can cut all these unnecessary middle men whose job is just confirm/deny the requests, the cost will be a lot cheaper. Not true, administrative overhead
by gridlockd 7y ago
> If we can cut all these unnecessary middle men whose job is just confirm/deny the requests, the cost will be a lot cheaper.
Not true, administrative overhead accounts for less than 10% in healthcare costs in the US [1].
NHS sets a price for services, which providers have to follow. That evidently leads to waiting times and shortages, as well as lower wages and inferior equipment. There's no free lunch, you need to pick your poison.
There's also a difference between costs and prices. Labor costs in the US are higher, because all staff earns better than in the UK. The industry is highly regulated and liabilities are high as well.
In the US, lots of hospitals run a loss for treating Medicare patients, as well as people who end up not paying. In order to stay in business, hospitals charge as much as they possibly can, and it's very opaque. If you get a huge hospital bill, you must negotiate.
Lastly, technology in the US needs to be up-to-date all the time, otherwise you run the risk of costly lawsuits. That's not the case in countries where settlements are far lower.
Ultimately, the headline is wrong, a CT does not cost $1100, it costs whatever you or your insurance pays for it. You can get it for 450$ or even less. You need to shop around, but it's quite difficult, because prices are not transparent.
[1] https://www.americanprogress.org/issues/healthcare/reports/2019/04/08/468302/excess-administrative-costs-burden-u-s-health-care-system/ https://www.americanprogress.org/issues/healthcare/reports/2...