Mayo Clinic Charged Private Insurers Over Four Times More Than Medicare for Outpatient Procedures in 2022, RAND Study Reveals
A 2024 RAND study, utilizing 2022 data, revealed that Mayo Clinic charged privately insured patients over four times more than Medicare for outpatient services. For admitted patients, private insurance charges were more than double Medicare rates. This disparity positions Mayo Clinic as the top in Minnesota and fifth nationally for the highest private insurance charges compared to Medicare for outpatient procedures. The study found that these higher charges applied even when patients were of the same age, had similar health conditions, and received identical services. This trend reflects a broader national pattern where hospital prices are increasing significantly faster for private insurance compared to Medicare. The data, sourced from Minnesota’s All Payer Claims Database and similar databases from other states, captured a 6% sample of commercial insurance hospital spending.
