Healthcare Discounts Meaningless

Si's Library Navigation

This room contains pieces drawn from my experiences at Health Decisions. It offers practical advice for anyone involved in managing group health plan expenses.
From the present, this room contains articles and reports by others that I wanted to share. Reasons for sharing will vary, so expect a potpourri.
This room provides reference points and norms I have observed or documented that can be used by persons trying to get their bearings in the often confusing world of group health.
This room contains my views on the future of the US health care system. My intent is not to convince anyone, but to broaden the discussion beyond the political debate that passes for health reform in America.
This room contains recordings and trasncripts of conversations I've had with interesting people I have had the privilege of meeting. Some are friends, some professional acquantances; all have interesting perspectives worth sharing.
From the past, this room contains some of the talks and articles I have done that I thought were worth sharing.

Topics of Conversation Health Care Reform News and Views Tools of the TradeSi's Library

Use the above navigation buttons to filter Si's Library by category.

Friday, May 10, 2013 2:54:00 PM Categories: News and Views

 

For years we have been telling people that “discounts” are meaningless because the charges used to calculate those discounts are not valid or reliable measures of anything. Now, you don’t have to take our word for it. Medicare has proven it. Any plan that uses “discounts” as their basis for comparing payment levels is on a fool’s errand. There are far better options but first the myth of “discounts” has to be rejected.

Once upon a time in the early days of PPOs this may have worked. But now, providers have so gamed how they set charges (and national payers have encouraged this practice) that “discounts off charges” are now simply a means for providers to get paid whatever they want.

Learn more through this article from The New York Times.

Share This Using Popular Bookmarking Services
Comments are closed on this post.
 
409 Plymouth Road, Suite 220 • Plymouth, Michigan 48170
phone 734­.451.2230 • fax 734­.451.2835
© 2011 - 2022 Health Decisions, Inc.