Catalyst for Payment Reform February, 2020
INTRODUCTION
In 2020, the exorbitant cost of health care in the United States remains shocking – – no longer for its novelty — but for its unchecked inflation, and consequent erosion of affordability across the country. Contrary to popular mythology that Americans use more health care, or that our delivery system is more wasteful than other countries, research shows that the main driver of health expenditures in the U.S. is prices in the commercial insurance sector. Research also shows that consolidated provider market power has eroded commercial health plans’ (and
other purchasers’) negotiating leverage in many markets, suggesting that regulation and public policy solutions may be needed to re-balance the playing field. This report, an update to a similar study from...
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