eli5: How come health care cost so much more in America vs. other countries?

Question

I understand that insurances covers part of the cost. However, the total cost (before coverage) is still much higher in America. Why?

Is the supply chain different? Are doctors and staff paid better in America?

In: 188

Answer 1

American health care is paranoid about being sued for medical malpractice, so before doing anything they will run a whole battery of tests covering any possibility even extremely unlikely ones. Only once these tests are complete will they move on to treatment. When you combine this with Americans fear of hospital bills, Americans only seek treatment when the illness is at a critical stage, often making treating the issue more complex and expensive.