How to Improve Price Transparency in the Healthcare System
Price transparency is important in making effective programs and in service delivery Being transparent about prices improves the experience of patients in the healthcare system Majority of patients will be more than willing to pay as long as they get informed earlier on the amount expexted This will lead to reduction of the amount that remains uncompensated Patients need to be well informed on the amount to pay and by what time This will help patients make an informed decision when choosing healthcare providers.
There is a lot of effort from insurance companies and healthcare providers to improve price transparency. When there is price transparency, there will delivery of quality services. The cost of care can be reduced by providing sufficient information regarding pricing. The push for price transparency has been going on for many years now. When patients go for in-patient treatment, most of the times they have no idea what they are expected to pay Healthcare providers can make cost conscious decisions with price transparency and patients can also choose which healthcare facility best suits them.
If patients don’t know the exact vavue of services they cannot compare the pricing with other facilities, this makes the healthcare system dysfunctional. There are changes that can be seen especially with the pressure mounted on providers, insurers and drug makers to provide pricing and better drugs The cost of healthcare is higher than the rate of inflation rising the need for patients to shop for healthcare services There are payment plans that need healthcare providers to provide a cost before conducting tests
It can be hard to know the actual cost without knowledge of the standard price Prices are known to vary up to thousands of dollars in hospitals that are in the same neighborhood The cost of treatment may not have any relation with the amount offered by the insurance provider This is how many people find themselves with insufficient funds yet they thought the amount will get covered by the insurance company
If consumers know the accurate amount to pay, they can easily choose which healthcare facility to go for treatment. It is not surprising to know that at times physicians don’t even know the price of services they provide
Plus, it can get complicated if the patients don’t even know the structure of their insurance cover If a patient goes for treatment and it leads to discovery of another condition, the estimates may differ greatly. It means there is a lot of coordination needed between providers and the health plan to get an estimate of prices However there is some progress as major health plans have a cost estimator tool for insured patients to find a service that can provide a cost estimate