Bitter Pill: Why Medical Bills Are Killing Us

[Michael Komorn]

Interesting article of the outrageous cost of health care, and who is the Big Winner at the end of the day. Note: it is not the patients or the Doctors.

 

 

 

1. Routine Care, Unforgettable Bills

When Sean Recchi, a 42-year-old from Lancaster, Ohio, was told last March that he had non-Hodgkin’s lymphoma, his wife Stephanie knew she had to get him to MD Anderson Cancer Center in Houston. Stephanie’s father had been treated there 10 years earlier, and she and her family credited the doctors and nurses at MD Anderson with extending his life by at least eight years.

Because Stephanie and her husband had recently started their own small technology business, they were unable to buy comprehensive health insurance. For $469 a month, or about 20% of their income, they had been able to get only a policy that covered just $2,000 per day of any hospital costs. “We don’t take that kind of discount insurance,” said the woman at MD Anderson when Stephanie called to make an appointment for Sean.

Stephanie was then told by a billing clerk that the estimated cost of Sean’s visit — just to be examined for six days so a treatment plan could be devised — would be $48,900, due in advance. Stephanie got her mother to write her a check. “You do anything you can in a situation like that,” she says. The Recchis flew to Houston, leaving Stephanie’s mother to care for their two teenage children.

 

 

Read more: http://healthland.time.com/2013/02/20/bitter-pill-why-medical-bills-are-killing-us/#ixzz2Mg8L43Zq

 

 

 

Read more: http://healthland.time.com/2013/02/20/bitter-pill-why-medical-bills-are-killing-us/#ixzz2Mg7npxn2

[hic]

Yea its bullshi.

 

just like if my friend wants a job, I say he needs to move to china. That is also bullshi.

 

The medical prices are just un-real.

 

To be a financial slave to live is not cool.

 

Even worse not being able to live because you do not look good on paper.

[CaveatLector]

Medical costs are partly a function of technology. 100 years ago we didn't have MRI or CT scan equipment. We didn't have the drugs and lab testing we have now. If your loved one had a stroke they didn't stay in the ICU for 15 days. You were told that there was nothing they could do so make them comfortable. People didn't remain in hospital for weeks and months with tubes coming out of them. Every medical advance costs more money. When PET (Positron Emission Tomography) was new 10 years ago it cost over $10k to get a scan. The current cost is about 1/3 of that.

 

Drugs are also expensive. You know a drug company has 7 years to recoup costs before a patent expires on their drugs. That's why drug prices are so high before there is a generic equivalent. Drug companies invest millions into research and development and they need to recoup that. I'm not saying they don't make plenty of profit. I'm just pointing out some reasons why prices are high.

[hic]

Yes.... Everything added up equals many are screwed.

[cristinew]

wonder why the drug prices on other countries are so much lower,,,, if they can sell them lower there why not here,

[+Malamute]

Actually, they boot you out of a hospital WAY faster than they ever used to.

 

Heck, they kept you in for 3-6 days when popping out a kid. Now,... next day get the hell out of here. :-)

[hic]

Hmmm the dog is right.

 

The pay is better for a labor then a night in bed. They must push out to move in.

 

Thus more money is made.

 

Because it is all about the money.

 

As Komarn has tried to point out.

[Timmahh]

i ll sum it up easy. My sister made just sub 400,000.00 for the previous 10 years prior to her being diagnosed, She was married (husband was a 6 figure earner for upper level BoA and still is) with a Chow (no kids). she was diagnosed with cancer and died less than 2 yrs later over 500,000.00 in debt...

Who was the big winner?

Edited March 5, 2013 by Timmahh

[greenbuddha]

This is just one person's opinion, mine, and I will stand by it no matter what anyone else might say in regards to it.

 

For whatever reasons a person might say causes it, health care in the U.S. will very soon be so costly that only a very few will be able to afford it. When this happens our country will have no other option but to put in place a 'national, single-payer' coverage for all citizens. And the only way to pay for it will be to reduce the amounts of money our country throws into such things as military spending, etc.

 

Whether any of us like or not, the course of our standard of living is dropping and there will be no more 'economic bubbles' like the last one to push it higher. This lowered standard of living will eventually leave most people uncared for in terms of their health.

 

We can go on burying our heads in the sand, but when this health care situation reaches into our own homes, many of us will see the situation in a much different light.

[CaveatLector]

i ll sum it up easy. My sister made just sub 400,000.00 for the previous 10 years prior to her being diagnosed, She was married (husband was a 6 figure earner for upper level BoA and still is) with a Chow (no kids). she was diagnosed with cancer and died less than 2 yrs later over 500,000.00 in debt...

Who was the big winner?

Upper level at BofA and making 6 figures and no insurance, or at least inadequate insurance to the tune of going into debt 1/2 mil bucks? Hmmm. Odd.

[Chauncy Gardner]

This is just one person's opinion, mine, and I will stand by it no matter what anyone else might say in regards to it.

 

For whatever reasons a person might say causes it, health care in the U.S. will very soon be so costly that only a very few will be able to afford it. When this happens our country will have no other option but to put in place a 'national, single-payer' coverage for all citizens. And the only way to pay for it will be to reduce the amounts of money our country throws into such things as military spending, etc.

 

Whether any of us like or not, the course of our standard of living is dropping and there will be no more 'economic bubbles' like the last one to push it higher. This lowered standard of living will eventually leave most people uncared for in terms of their health.

 

We can go on burying our heads in the sand, but when this health care situation reaches into our own homes, many of us will see the situation in a much different light.

 

National single payer coverage? You mean like Medicare? Why not just put everybody on Medicare and eliminate health insurance companies? Medicare coverage is way cheaper than health insurance so everybody would save money by not having to pay health insurance. A lot of money could be saved by not having to pay for health insurance company executive's salary and bonuses. The guy in charge of the MD Anderson cancer center made $1.8 million a year. Isn't that kind of excessive? And this is just one medical center out of thousands. Too many people are making too much money off health care. Eliminate the middle man and use the money to provide coverage.

[GregS]

Read it. liked it, and hope to think it is an important piece of journalism that has enough power to change things.

 

Brills's analysis has seemingly led to the absence of Time Magazine in some of the doctors' offices that I regrettably have to frequent.

[GregS]

Medical costs are partly a function of technology. 100 years ago we didn't have MRI or CT scan equipment. We didn't have the drugs and lab testing we have now. If your loved one had a stroke they didn't stay in the ICU for 15 days. You were told that there was nothing they could do so make them comfortable. People didn't remain in hospital for weeks and months with tubes coming out of them. Every medical advance costs more money. When PET (Positron Emission Tomography) was new 10 years ago it cost over $10k to get a scan. The current cost is about 1/3 of that.

 

Drugs are also expensive. You know a drug company has 7 years to recoup costs before a patent expires on their drugs. That's why drug prices are so high before there is a generic equivalent. Drug companies invest millions into research and development and they need to recoup that. I'm not saying they don't make plenty of profit. I'm just pointing out some reasons why prices are high.

 

Technology is commonly considered a means to control costs.

 

Mixed messages.

[cindy48647]

How about no such thing as insurance companies.

I went to the emergency room twice ,an the bill from the emergency room physician was $600 for 10 minutes of their time ,because I have no insurance, I was able to write a letter stating hardship ,they took off a whole $180 off ,lol ,good luck getting water out of a rock.

[greenbuddha]

National single payer coverage? You mean like Medicare? Why not just put everybody on Medicare and eliminate health insurance companies? Medicare coverage is way cheaper than health insurance so everybody would save money by not having to pay health insurance. A lot of money could be saved by not having to pay for health insurance company executive's salary and bonuses. The guy in charge of the MD Anderson cancer center made $1.8 million a year. Isn't that kind of excessive? And this is just one medical center out of thousands. Too many people are making too much money off health care. Eliminate the middle man and use the money to provide coverage.

 

Sounds like a good idea to me.

[Chauncy Gardner]

How about no such thing as insurance companies.

I went to the emergency room twice ,an the bill from the emergency room physician was $600 for 10 minutes of their time ,because I have no insurance, I was able to write a letter stating hardship ,they took off a whole $180 off ,lol ,good luck getting water out of a rock.

 

 

When I get a statement from my insurance company it lists the charge the doctor submitted and the amount approved by the insurance company. Invariably the doctors charge is about 3-4 times what the insurance company pays. I had minor surgery recently and the doctor charged $1500 for a 15 minute procedure. The insurance company paid $400. It is like this with every medical bill I get. I figure that the doctors are using the difference between what they charge and what insurance pays as a tax write off.

[+Malamute]

Well, medicare isnt free and it would likely cost about 7.5% across the board tax hike to go to single payer.

 

So, no more paying the insurance companies, but your taxes will go up. And there will still be deuctibles etc. :-)

 

Its justthat currently it would lower costs by about 20%.

[CaveatLector]

When I get a statement from my insurance company it lists the charge the doctor submitted and the amount approved by the insurance company. Invariably the doctors charge is about 3-4 times what the insurance company pays. I had minor surgery recently and the doctor charged $1500 for a 15 minute procedure. The insurance company paid $400. It is like this with every medical bill I get. I figure that the doctors are using the difference between what they charge and what insurance pays as a tax write off.

Write it off as what? Bad debt? If they don't try to collect it from you then it's not bad debt.

 

Generally a doc will have a contractual agreement with an insurance company to accept what they pay as full payment. In that case there is nothing to write off either.

[ozzrokk]

And the sad part about what the doctor charges verses what the insurance company pays is that the original number is what a NON INSURED person would HAVE TO PAY.... Truly sad.

[+Malamute]

Noone pays more for medical care than those that pay cash. I am with ya Ozz.

[GregS]

My fervent hope is that policymakers take this article seriously and do the right things. It does put things squarely front and center, and teed up for serious discussion by serious people.