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Kaiser Daily Health Policy Report
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Coverage & Access | Hospitals Charge Uninsured Ohio Residents More for Health Services, Study Finds
[Mar 10, 2005]

      Some hospitals charge uninsured Ohio residents more than twice the amount for health care as insured patients, according to a study released Tuesday by the Service Employees International Union District 1199, the Cleveland Plain Dealer reports. For the study, union officials analyzed 2003 Medicare cost reports and data from the state Department of Health and the American Hospital Association (Treffinger, Cleveland Plain Dealer, 3/8). They found that for every $100 the average Ohio hospital provided in care for an admitted patient in 2003, the average uninsured patient was charged $255, while the average patient with insurance was charged $120, most of which is covered by insurance (Lamb, Dayton Daily News, 3/9). According to the report, Ohio hospitals' charges "are not based on any consistent formula." The study also states that uninsured and underinsured residents are subject to "aggressive collection practices that include garnishing their wages, placing liens on their homes and driving them into bankruptcy." According to the study, the exact number of uninsured residents who are "stuck with high sticker prices" is unknown. The study recommends limiting the price hospitals can charge uninsured and underinsured patients, creating uniform charity care standards and requiring the disclosure of hospital policies (Cleveland Plain Dealer, 3/8). According to the Dayton Daily News, the study comes as state Rep. Barbara Sykes (D) plans to introduce a proposal that would establish such limits (Dayton Daily News, 3/9). Bill Ryan, president of the Center for Health Affairs -- which represents hospitals in Northeast Ohio -- said that since the study was conducted, hospitals have adjusted their billing and collection policies based on federal guidelines to include a sliding scale of charges based on patients' incomes. J.B. Silvers, director of research at the Health Systems Management Center at Case Western Reserve University, said that the data in the study is accurate, but because few people actually pay those charges, the study is questionable. He added that the study also makes it seem as if hospitals are making a profit on treating the uninsured (Cleveland Plain Dealer, 3/8).


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