Why is $210 Billion Wasted by Health Insurers Every Year?
So, each year here in the U.S. we spend $2.2 TRILLION dollars on health care costs. And guess what, $1.2 TRILLION of that is basically just a waste of your money. That’s right the increases in health care that are raising your premiums can be avoided in many instances.
But that’s not all. The health insurers are directly responsible for one of the most wasteful problems.
Health Insurers + Doctors + Claims Forms = Your Money Wasted
The PricewaterhouseCoopers’ Health Research Institute just released a new report on health care costs that outlines where health care money is being wasted.
You may or may not be surprised to realize that health insurance companies are the catalysts for the second most wasteful area of health care spending.
It seems that doctors have a difficult time getting paid by health insurance companies as well as getting approval for high priced procedures. Pair that with the fact that all the insurance companies use different forms that could be standardized and automated (but they aren’t) and you have a situation where doctors have to spend way more time and money handling the paperwork than they need to.
Guess who pays for it? We do, because doctors in turn have to raise their fees to cover the time and money spent on all the claims forms.
Anyone who thinks that we don’t need health care reform or that reform won’t help make health care more affordable, take a look at that number again.
$210 Billion Dollars are wasted every year because health insurance companies have an inadequate claims form process. $210 billion dollars a year.
Feel free to learn more about where the $1.2 Trillion in health care is wasted every year.