Wide variation in prices for the same procedures at hospitals around New York isn’t based on quality of care, but rather the facility’s market power.
The study from the New York State Health Foundation examined cost data from 107 hospitals within three parts of the state: Buffalo, Albany and downstate. If patients are able to compare prices at different hospitals—which may not be possible due to some hospitals’ contracts with insurers—higher prices are likely due to a lack of nearby competition or being a part of health system with more bargaining power.
“There's not an association between prices and quality," the foundation’s CEO, David Sandman, told the Albany Times-Union. "But there is a strong one between market power and price."
For more on the report, and how insurers and hospitals in the state are responding, click on the link below:
John joined TriMed in 2016, focusing on healthcare policy and regulation. After graduating from Columbia College Chicago, he worked at FM News Chicago and Rivet News Radio, and worked on the state government and politics beat for the Illinois Radio Network. Outside of work, you may find him adding to his never-ending graphic novel collection.