It’s from my understanding the er cannot denying seeing you even if you can’t or refuse to pay. So in the event of a very large bill and the hospital does a charity right off how does the hospital make money. In addition, it is my understanding that if you don’t care about your credit unpaid medical bills won’t impact you since it isn’t a government expense (like student loans) so they can’t garnish wages. So how do they make money on these cases? Also my mom is a doctor and has said that right offs are very common since insurance only covers a percentage. Why would a hospital do this since they don’t get paid?
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They don’t make money on those cases, but make plenty enough off other cases to offset it.
Remember that insurance companies are making *billions* off healthcare, because they managed to create a system that demands more money than is actually needed for treatment.
The nature of our healtcare/insurance system has created super inflated costs of care. (Notice I didn’t have to ask if you are in the USA. No other nation has this issue) They crunch the numbers so that they still turn a profit
It doesn’t actually cost the hospital $400 in resources for that checkup you got. So if you pay out of pockst it’s a bonus. If you have insurance then a portion or all of the cost is covered. But HMOs encourage this inflated price – even though they are paying it sometimes – because premiums are SO high, and most people pay such large dedeuctibles, that the HMO still makes a profit.
When hospitals are operating at a thin margin of profit, it’s because the insurance companies are denying claims. That’s their biggest customer, not out-of-pocket costs.
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