The Importance of Price Transparency in Healthcare
Effective programs and service delivery is possible through price transparency This way the experience of patients in healthcare system will improve greatly Majority of patients will be more than willing to pay as long as they get informed earlier on the amount expexted This will get rid of delivery of care without getting compensation. Patients need to be well informed on the amount to pay and by what time This way patients can decide on what services to seek
Most insurance providers and healthcare facilities are striving hard to improve price transparency in services delivered Delivery of quality services is expected to be a success if there are measures put in place to improve price transparency 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 Transparency will enable consumers to know which healthcare system to choose and give physicians an opportunity to make cost conscious decisions
The healthcare system is considered to be dysfunctional when patients cannot compare prices with other service providers There are changes that can be seen especially with the pressure mounted on providers, insurers and drug makers to provide pricing and better drugs There is rising demand for patients to shop for healthcare services as healthcare spending is higher than the cost of inflation. Many insurers opt to ask for costs from doctors before doing any tests.
If providers don’t know the standard price of treatment, it can be difficult to come up with an accurate figure. Prices are known to vary up to thousands of dollars in hospitals that are in the same neighborhood The price of insurance for a patient may have little relation with what a hospital charges This is why price transparency is important to avoid running into unwanted cost that could be easily avoided
If consumers know the accurate amount to pay, they can easily choose which healthcare facility to go for treatment. There are times that physicians don’t even know the cost of services they provide.
In addition, it gets complicated when the patients don’t even know the amount covered by the insurance companies. If a patient goes for treatment and it leads to discovery of another condition, the estimates may differ greatly. This means that there needs to be coordination between health planners and providers to get an estimate on the 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
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