Should Charities, Hospitals, etc., Be Allowed to Pay Premiums to Insure High Cost Patients?

hospital magnify 300“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)

9 thoughts on “Should Charities, Hospitals, etc., Be Allowed to Pay Premiums to Insure High Cost Patients?”

  1. 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.

  2. 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.

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