You may wonder, “Why exactly is health care so expensive, especially in America?”
Well, first but not the main is because of higher prices and not more use of services. Everything that is related to healthcare in America usually costs more than in any other country. The expenses are passed on to the consumer. Americans don’t actually see a medical professional more often, and they don’t have longer hospital stays compared to residents of other countries. Even so, researchers find that the price of goods and services are still higher.
Another reason is because the consumer is not the direct payer. Since most Americans receive health care through insurance provided by their employer or the government, they are removed from the cost. And not caring about the bottom line means the consumers can bring up their prices …show more content…
Health care costs are increasing every year, for a collection of reasons that range from the boring to the scandalous. For example, there’s a new move toward crazy expensive drug prices, like the $84,000 hepatitis C drug that singlehandedly accounted for 13% of the increase in drug spending in 2014. Lots of “specialty” drugs were born when manufacturers realized they could charge whatever they want. Expensive drugs are mostly paid for by insurance, and drug companies like it that way: the patient gets free or cheap drugs, and the insurance company foots the gigantic bill. Of course, that means we all pay for it in the end, through high premiums.
The problems with health care costs may sound like a lot of bad news, but there are a few bright points. First, at least it’s possible for everyone to get insurance now: In 2015, only 9.2 percent of Americans didn’t have insurance. Even if you have to pay a lot out of pocket, you still benefit from negotiated rates. Mitchell says that while it’s always reasonable to try to negotiate a discount on your own, you’ll rarely get a deal as good as a big insurer
Well, first but not the main is because of higher prices and not more use of services. Everything that is related to healthcare in America usually costs more than in any other country. The expenses are passed on to the consumer. Americans don’t actually see a medical professional more often, and they don’t have longer hospital stays compared to residents of other countries. Even so, researchers find that the price of goods and services are still higher.
Another reason is because the consumer is not the direct payer. Since most Americans receive health care through insurance provided by their employer or the government, they are removed from the cost. And not caring about the bottom line means the consumers can bring up their prices …show more content…
Health care costs are increasing every year, for a collection of reasons that range from the boring to the scandalous. For example, there’s a new move toward crazy expensive drug prices, like the $84,000 hepatitis C drug that singlehandedly accounted for 13% of the increase in drug spending in 2014. Lots of “specialty” drugs were born when manufacturers realized they could charge whatever they want. Expensive drugs are mostly paid for by insurance, and drug companies like it that way: the patient gets free or cheap drugs, and the insurance company foots the gigantic bill. Of course, that means we all pay for it in the end, through high premiums.
The problems with health care costs may sound like a lot of bad news, but there are a few bright points. First, at least it’s possible for everyone to get insurance now: In 2015, only 9.2 percent of Americans didn’t have insurance. Even if you have to pay a lot out of pocket, you still benefit from negotiated rates. Mitchell says that while it’s always reasonable to try to negotiate a discount on your own, you’ll rarely get a deal as good as a big insurer