The American medical system is a mess.
The root cause of this mess is that medical costs are so ridiculously high that no one can afford it without some sort of insurance coverage. Basically, the medical establishment at every level has learned to gouge the insurance system, especially Medicare.
Many things need to change, such as tort reform so that doctors aren’t encouraged to order endless, unnecessary tests. Complexity of payment systems needs to be reduced; why should people getting the exact same treatment pay radically different prices just because they have different types of insurance? That doesn’t happen with other products. If I see a lawyer, he has a single billing rate regardless of who the client is. If I buy a car, I should pay the same price as anyone else buying that exact same car.
Why, if I’m paying for a treatment myself, should my rates be higher than what the rates that Medicare pays? Let’s say I’m going to pay for a treatment with a credit card, without any insurance company involvement. That’s actually cheaper for a hospital to process than a social security payment, because the hospital does not have to pay for the clerical help to deal with the Medicare bureaucracy.
In our case study the self-pay client would have paid about 6 times what Medicare pays, and Medicare is already paying about $6,500 for a routine 2-day hospital stay. That’s over $3,300 a day! But for someone paying cash, the bill was about $30,000! That makes no sense at all.
As part of the promised medical care reform, President Trump should issue an Executive Order (link to sample) that self-pay individuals pay no more than Medicare would pay for the same treatment.
Sign our petition below to urge President Trump to issue this executive order now!