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Thursday, October 27, 2005

It has been a while since I had to vent about something.

A month ago a local prominent surgeon came to me to have a scope. I did his scope at a local hospital. He had a PPO insurance with a deductible amount and I waived the deductible amount he owed me. The hospital charged his insurance company close to $7,000. His deductible amount came to $1,500. He could have gone down the street to a private outpatient GI Lab and had the entire procedure for less than that amount.

He asked the hosptial administrator about this outrageous amount. The administrator stated that the hospital takes all insurances and treats the uninsured. It is a not-for-profit facility. For patients without insurance the hospital charges an amount 5 times higher than what Medicare or Medicaid pays. This inflated amount is what is charged to insured patients. This overinflated amount is charged to make up for the pittance received from Medicare, Medicaid and poorly paying insurance companies.

This madness has got to stop. You should look at: Anatomy of a Hospital Bill
Uninsured Patients Often Face Big Markups On Small Items; 'Rules Are Completely Crazy'By LUCETTE LAGNADO in THE WALL STREET JOURNALSeptember 21, 2004.

Also refer to: http://www.consejohelp.org/ Although this site addresses overcharging of the poor, it is clear that this practice is also hurting those who are insured. My patient was a prominent surgeon who brought many patients to the hospital and this is how well he was treated.

Why should such a hospital retain its not-for-profit status and get tax breaks?

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