$350 BILLION spent annually to collect medical debts

[Horse with no Name]

Just in case you were wondering where the fat could be trimmed to pay for everyone.

http://www.dallasnews.com/sharedcontent/dws/bus/columnists/chall/stories/DN-Hall_03bus.ART0.State.Edition1.38ab6e0.html

>>>snip
The biggest problem facing the health care industry isn't the quality or availability of treatment, he says. The real danger to our national medical system is the soaring cost of getting the bills collected.

The chief executive of Irving-based MedSynergies Inc. sees this firsthand in handling the back office operations for more than 2,300 health care providers in 26 states.

Each year, more than $350 billion is spent needlessly as bills bounce among patients, doctors and insurers, says Mr. Thomas, citing a comprehensive study by McKinsey & Co. last year. "That's 15 percent of total health care expenditures in this country." Squeeze out this waste, and there'd be money to cover the 40 million Americans who are uninsured or underinsured without adding to our tax burden, he contends.

"Industrywide, the cost of collection is 20 percent of the medical benefits provided," says Mr. Thomas. "What business do you know of that has a 20 percent cost of collection and survives? None."

[thunder rising]

1. Damn it's expensive double and triple billing every party involved.

[appal_jack]

2. k&r!!!

20% of the whole healthcare budget is spent just chasing payment? Wow, what a scary statistic.

Candidates: how about targeting this waste before loading-up more mandates on us individuals or dipping into our (already falling) wages?!?

-app

[dysfunctional press]

3. i recently got a call from a bill collector regarding a medical debt...

the debt was owed to a company called north shore pathologists, and i had no idea the bill existed.

the pathologists are the ones who test things that the dr. sends them when you have a procedure that requires it- the patient never even deals with them directly. but- somehow someone somewhere transcribed my address wrong- so i never got any of the bills they sent out when medicare and blue cross ppo didn't pay quick enough. and when i didn't respond to the bills i didn't get, they sent it to a collection agency.
the collection agency said my debt was $160-something, so i called north shore pathologists to confirm it- not having an actual bill, finding their number wasn't easy, but i finally got to an actual person.
north shore pathologists said that my outstanding balance was $5.25- yes, FIVE DOLLARS AND TWENTY-FIVE CENTS. and they took my correct address info and said that they would send me a bill for the $5.25. i considered the matter pretty much done.
the next day the collection agency calls again- i told the woman about my conversation with north shore, and my bill only being $5.25, and that i would just deal directly with them, and NOT the collection agency- she said that she now showed it being $47, and that i would have to pay it thru the collection agency.
in not so many syllables, i suggested that she might want to experience intercourse with herself and hung up.
it's been two weeks, and i still haven't gotten my bill for $5.25...i guess i'll have to make another call tomorrow.
btw- in trying to find their phone number online, i came up with someone else's memorable experience with north shore pathology and their collection goons when google directed me too "yelp.com"...but when i just went there to post a link, the negative review for north shore pathology is missing...so much for the good folks at yelp.com.

the point of all this...?
we NEED Single-Payer, Universal HealthCare, like the REST of the civilized world.

[Hepburn]

6. A little advice on this....

...I deal with collection issues all the time for a friend of mine who is a financial manager for a lot of small business where people are basically self-employed and they are getting BS letters from collection agencies.

If the collection agency is writing to you in regard to the bill, it is NECESSARY to deny the debt IN WRITING. And even if they are calling you, you should get their contact information and DENY the debt IN WRITING.

The collection game is an interesting ~~ and disgusting ~~ one to say the least. They could end up suing you even if you have dealt with the actual creditor and your account is closed because it was paid in full...and if you do not have proof of sending letters to them denying the debt, they could establish that you owe this money even if you don't. And...I would also write to the pathology company with a confirmation letter of the amount of the debt and that it has been paid in full and there is nothing owing to them.

Medical bills are bad enough, but the blood sucking collection agencies that employ attys to play games to make you pay what you don't owe really, really disgust me!

A good rule to remember, IMO, is: If someone alleges a debt against you, reply in writing denying the debt if you do not believe you owe that money to that entity.

[lumpy]

8. I think it should be the doctor's/hospital's responsibilty to see

that the testing lab reports are paid and those charges should be billed to you by the doctor. After all it is a service that the doctor contracts for. The billing system can be confusing and double charging does exist sometimes.

[fed-up]

4. k/r for the morning crew nt

[RedEarth]

5. Terrific article ...... thanks for posting .......... kr

[Girlieman]

7. $350 Billion?

That's more than what is budgeted for the Iraq war in 2008. Seems high.