Forbes May 17, 2019
John C. Goodman

Did you know that employers are paying hospitals more than twice as much as what Medicare pays? At some hospitals they are paying four times as much. Those are the findings from a new study by the RAND Corporation.

It wasn’t always so. In fact, as recently as 2000, private payers were paying only 10% more than Medicare. Since then, the gap has been growing by leaps and bounds.

What makes this especially surprising is that it has happened at a time when employers have been getting increasingly aggressive about controlling health care costs.

So, what’s going wrong? And who’s to blame? In my opinion, employers are to blame. 

A few employers are smart buyers of care. Rosen Hotels & Resorts  in Orlando, for example, is...

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