government

Most uninsured hospital stays go unpaid

Costs of care provided to Americans without health insurance are shifted to those who are covered, according to an HHS report.

By Charles Fiegl — Posted May 20, 2011

Print  |   Email  |   Respond  |   Reprints  |   Like Facebook  |   Share Twitter  |   Tweet Linkedin

Hundreds of thousands of Americans without health insurance have racked up tens of billions of dollars annually in hospital bills that they cannot pay, according to a Dept. of Health and Human Services report.

In 2008, hospitals had 2.1 million hospitalizations of uninsured people. About 1.2 million, or 58%, ended up with hospital bills in excess of $10,000. Hospitalizations with costs of more than $100,000 accounted for 6% of uninsured hospital stays.

There's no truth to the assertion that people without health insurance can get care with no problem, HHS Secretary Kathleen Sebelius said in a May 10 statement accompanying the release of the study. Uninsured families cannot pay the full hospital admission bills 95% of the time, because they lack enough money in individual savings accounts.

"The result is families going without care or facing health care bills they can't hope to pay," Sebelius said. "When the uninsured cannot afford the care they receive, that cost must be absorbed by other payers."

HHS cites reports by Families USA and the journal Health Affairs showing that total uncompensated care in the U.S. was between $56 billion and $73 billion in 2008. Two-thirds of that amount is attributed to hospital care.

The costs of unpaid hospital bills is shifted to other patients with insurance. A 2008 Kaiser Family Foundation study found adults with private insurance "spend about $350 per person through taxes, donations and payments for private health care and private insurance to subsidize care received by the uninsured."

Uncompensated care for the uninsured and underinsured is borne by everyone, said American Medical Association President Cecil B. Wilson, MD. The AMA supports efforts to improve access to insurance so people can receive the care they need.

"To reduce the burden of the cost of uncompensated care and ensure all patients have access to preventive medical care, we support individual responsibility for health insurance for all Americans with assistance for those who cannot afford it on their own," Dr. Wilson said.

Back to top


ADVERTISEMENT

ADVERTISE HERE


Featured
Read story

Confronting bias against obese patients

Medical educators are starting to raise awareness about how weight-related stigma can impair patient-physician communication and the treatment of obesity. Read story


Read story

Goodbye

American Medical News is ceasing publication after 55 years of serving physicians by keeping them informed of their rapidly changing profession. Read story


Read story

Policing medical practice employees after work

Doctors can try to regulate staff actions outside the office, but they must watch what they try to stamp out and how they do it. Read story


Read story

Diabetes prevention: Set on a course for lifestyle change

The YMCA's evidence-based program is helping prediabetic patients eat right, get active and lose weight. Read story


Read story

Medicaid's muddled preventive care picture

The health system reform law promises no-cost coverage of a lengthy list of screenings and other prevention services, but some beneficiaries still might miss out. Read story


Read story

How to get tax breaks for your medical practice

Federal, state and local governments offer doctors incentives because practices are recognized as economic engines. But physicians must know how and where to find them. Read story


Read story

Advance pay ACOs: A down payment on Medicare's future

Accountable care organizations that pay doctors up-front bring practice improvements, but it's unclear yet if program actuaries will see a return on investment. Read story


Read story

Physician liability: Your team, your legal risk

When health care team members drop the ball, it's often doctors who end up in court. How can physicians improve such care and avoid risks? Read story

  • Stay informed
  • Twitter
  • Facebook
  • RSS
  • LinkedIn