How to Improve Price Transparency in the Healthcare System
Effective programs and service delivery is possible through price transparency This way the experience of patients in healthcare system will improve greatly Patients are willing to pay if they know how much is needed upfront This will lead to reduction of the amount that remains uncompensated Each healthcare facility needs to inform patients on what the amount owed and the duration needed to make payment. 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. Delivery of quality services is expected to be a success if there are measures put in place to improve price transparency High cost of care is usually blamed on the scarcity of information regarding price There has been a push for improvement on price transparency for many years Consumers are usually left in the dark about what they are expected to pay after going for in-patient services Price transparency gives patients an opportunity to compare healthcare systems and choose the best and enable healthcare providers to make cost conscious decisions
The health care system cannot be functional if people cannot compare the
pricing with other services as they don’t know the exact value of the purchase There are changes that can be seen especially with the pressure mounted on providers, insurers and drug makers to provide pricing and better drugs Healthcare spending is growing above the rate of inflation and patients are burdened with the rising demand to shop for healthcare services There are alternative payment methods that require providers to get information from doctors on what the cost of ordering certain tests
If providers don’t know the standard price of treatment, it can be difficult to come up with an accurate figure. The cost of treatment varies in thousands of dollars in healthcare facilities that are in the same neighborhood let alone different countries 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
Price transparency will give patients an opportunity to choose healthcare facilities that they can afford 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. The estimates tend to vary greatly if a patient goes for treatment and another underlying condition is discovered This means that there needs to be coordination between health planners and providers to get an estimate on the prices A lot of progress is expected to be made as many healthcare provider use a cost estimator tool to give insured patients a cost estimate