“It is a conflict of interest for hospitals and drug companies to pay patients’ premiums and cost-sharing for the sole purpose of increasing utilization of their services and products,” said Karen Ignagni, head of America’s Health Insurance Plans, the health-insurance industry’s trade group.
The group’s general counsel, Joseph Miller, said laws regulating tax-exempt organizations could limit activities aimed at enriching themselves or another organization. (WSJ)
I can’t understand why Sebelius allowed this.
Many things have gone on under her watch that have seemed questionable.
I think it’s called desperation!
This is going to be a disaster.
Maybe, if the minimum purchase length was 12 months, if they might be more agreeable.
So if medicaid sets the rates low enough hospitals will find it beneficial to buy insurance for certain patients. I find that quiet interesting and amusing.
Altogether, 10% of hospitals’ surgical procedures account for roughly a fifth of Medicare spending. Now we see how hospitals are exploiting these high-pay cases.
A heart transplant alone costs roughly $800,000.
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