New Medicare data reveal wildly varying charges among the nation's hospitals for 100 of the most common in-patient treatments and procedures, 61 (call) into question medical billing practices just as U.S. officials try to rein in rising costs.
The escalating price of medical care may complicate the rollout of the new federal healthcare law, 62 is designed to make health insurance affordable for millions of 63 (insure) Americans next year. And federal officials said they hope the data will encourage more price competition and make consumers better healthcare shoppers.
In the Los Angeles area, for instance, one hospital's average price for knee and hip replacements in 2011 was as high as $223,373. That's seven times as much as the lowest charge of $32,022 in the Southland.
The average hospital charge 64 treating pneumonia ranged from $17,000 to nearly $70,000 in the L.A. area.
“We want to shine a much brighter light on practices that don't seem to make sense to us,” said Jonathan Blum, deputy administrator for the Centers for Medicare and Medicaid Services. “We do not see any business reason for 65 there is so much variation in the data.”
Hospitals said they support efforts to simplify an overly complex medical billing system and arm consumers with more information. The California Hospital Assn. agreed, but warned 66 the newly available federal data “may confuse patients as well as the public”.
Health-policy experts called the government's move 67 (release) prices from more than 3,000 U.S. hospitals unprecedented in its scope, and they said it could accelerate related efforts to pry more detailed cost information from health insurers and other medical providers.
Many employers and consumers still struggle to unravel the closely guarded secrets of medical pricing even though they 68 (ask) to shell out ever-increasing amounts for care.
Medicare and private insurers pay only a fraction of these billed charges disclosed by the government.Regardless of the bills, Medicare pays standardized amounts for specific conditions, and insurers negotiate 69 (low) rates.
Nonetheless, experts say the actual amounts insurers and consumers pay follow a similar pattern of 70 (wide) divergent prices with little correlation to the quality of patient care or the underlying costs.