Healthcare: Sometimes Costs Same As Out Of Network

The Daily Mail did a report on a study compiled by 'Gawker'. In the article they posted the following chart..

Most medical plans only pay half of what they would if a patient were to have the procedure done 'in-network'. It should be plain to see if one lived in Houston it wouldn't be a burden if someone were visiting someplace else where it would only cost 1/3.

For example instead of it costing over $20,000 this same operation would cost just $8,345 in San Francisco. A difference of over $11,600. So if their insurance company only paid half ($4,172 of the $8,345) they'd wouldn't be much worse off (assuming 80% in-network coverage for the $20,000 operation in their home city of Houston).

Ah but here's the rub. Suppose you lived in San Francisco and had this operation done in Houston. You'd be out $10,000 (50% of $20,000). That's almost $6,000 more!

Granted in this example I used (carpal tunnel) is an elective surgical procedure, but what if you were involved in a car accident and it were not?

Hence my support for uniform national healthcare such as a expansion of Medicare for everyone. In this scenario Medicare would pay 80% of the $20,000 ($16,000) in Houston or 80% of the $8,345 ($6,759) in San Francisco. Therefore if someone were to have their car accident while away from home while in San Francisco rather then be out $4,000 they'd be out only $1,586.

Under Medicare it's most likely charges for medical care wouldn't allow providers to charge a difference of over $11,600 for the same procedure. While I'm sure there would be allowances for one area from the next I find it unreasonable one should charge 3x's more then the other. In addition many would travel elsewhere if they could have elective surgeries done less costly. Thusly driving medical costs down even further through competition.

So we have two choices. Continue to do things as we have always done them under privatization or build a better working model. Currently Republicans in Congress are crafting legislation to privatize Medicare. It seems to me this is moving things bassackwards. But hey you keep electing them and that's what you're going to get. Don't say I didn't warn ya!