Mr. Lazarus said instead of individual contracts, medical prices should be determined by a panel of experts, and all payors would be required to follow the panel’s guidelines when setting reimbursement rates. He said the change would essentially move the country to a single-payor insurance system like those that exist in other developed countries.
He said while he does not necessarily believe the healthcare industry should do away with private insurers, a rate-setting panel would improve transparency in healthcare costs and improve consumer understanding of expected payment. He said a single-payor insurance system would give hospitals an incentive to keep down prices in the hope of attracting more patients; insurers would also control cost to bring in more members.
Read the L.A. Times column on eliminating individual contracts.
Read more on billing, coding and collections:
–AAPC and CMS to Host ICD-10 “Code-a-Thon”
