Determining what the cost of a medical procedure can be very challenging. However, with rising costs, people are finding it necessary to “shop” various providers to find the lowest price for the service they need. Research estimates pricing failures from the lack of transparent information on health care costs contribute more than 14 percent to waste or inefficiency in today’s health care spending.
Below is an article from healthcaredive.com that describes the need for transparency to lower waste and the discrepancy between facilities for the same procedure. After reading the article, give us a call at SpendBridge so we can discuss how we can help you to better manage your accounts payable and procurement process allowing you to provide the best service to your patients.
Source: healthcaredive.com | Re-Post SpendBridge 2/19/2018
New research released by the Minnesota Department of Health finds wide swings in prices for several common medical procedures.
While the average cost of a total knee was $23,997, prices paid to Minnesota hospitals ranged from $6,186 to a high of $46,974 — an eightfold difference. The lowest to highest prices for cesarean section deliveries — $4,693 versus $22,831 — represent a five-fold difference.
The analysis, a collaboration of employers and MDH, was based on commercial claims data only and intended to help employers identify high-value networks that offer both quality care and competitive prices.