Tuesday, May 29, 2007

Medi-Jacking: “Retail” Medical Pricing

Partisan Politics

Competition in the medical system is a Republican plank—the theory being that normal business competition takes place in the medical sector, yielding market forces that optimize across the board. I don’t think that medicine operates the same way as other areas—normal competitive forces require that the buyer have choices and knowledge of those choices, so better decisions can be made.

I recently had some blood tests done as part of a normal checkup—right down at the end of the hall, sir! Weeks later some handy information systems that my insurance company provides give insight into the costing side of the medical equation that I haven’t really had before. I was stunned to see the lab charges.

I wasn’t stunned by the amount that the insurance company had paid on my behalf, which was around $22. I was stunned by the “normal” fee for the service—over $125! In other words, if someone was stupid enough to go to the doctor and pay fee-for-service, they’d get hijacked (or medi-jacked, if you like) for $100 more!


Posted by Ross on 05/29/07 at 02:51 AM
Partisan PoliticsPermalink