When a baby is about to arrive, every minute counts. Yet when Jen Villa of Salinas, California, was in labor, she and her partner drove 45 minutes in the middle of the night, bypassing nearby hospitals to reach one they could afford.
For years, the price of hospital care has been hidden from patients, companies and taxpayers who get the bills — and that secrecy has made a hospital visit in some places prohibitively expensive. It has also fostered disparities, forcing people to pay far more depending on where they go.
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Federal rules put in place in 2021 require hospitals to make their prices public so consumers can compare them and know ahead of time how much going to one will cost. While many hospitals have been slow to comply, the emerging picture has revealed imbalances that leave patients like Villa weighing saving money against being seen by a preferred doctor or at facilities closer to home.
A Bloomberg News analysis of data compiled by Rand Corp. found more than 350 hospitals in communities across the US with significantly lower-cost competitors within 5 miles. More than half the time, the less expensive facilities had quality ratings that were similar or superior to their pricier neighbors. If patients are willing to travel as far as Villa did for lower cost care, they’re likely to find it: Almost half of US hospitals are within 30 miles of a significantly less expensive competitor, according to Bloomberg’s analysis of the Rand data.
Such inconsistencies seem to defy the normal market forces that shape prices for most goods and services…
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The vast majority is inelastic.
Our choice of facilities and physicians is limited by insurers, our selection of whom is in turn limited by our employer.
I can choose a different grocery store by simply driving in one direction instead of another; I can select a different brand of pasta by moving my hand a couple feet down on the shelf. Selecting a new care team for my wife involves a solid week of full-time effort, and there’s no guarantee of the level of care she’ll actually receive.
Not to mention that there might be one or two healthcare “systems” in your area. If you live rurally, good luck with that.
Also if it’s anything like my area there’ll be a six month wait before you can get your first appointment so good fucking luck. If it doesn’t work out? Well, better hope you have a workable plan B.
Plan B is to put a paper bag over your head, lie on the ground, and wait for death.
The market itself undermines consumer efforts to plan care. I asked my doctor to screen a skin mark for cancer, fucking prick told me to come back next time and ask again later. Ok doc, just let me have the cancer instead.