Hospital Outpatient Departments Drive Up Healthcare Costs, Report Finds
A report presented by Christine Monahan, assistant research professor at Georgetown University, highlights the increasing costs associated with hospital outpatient departments. The report, shared with the National Association of Insurance Commissioners Health Care Affordability and Mitigation Working Group, reveals that outpatient department usage has risen by 31% since 2000. This increase is linked to higher costs compared to independent physician offices due to 'split billing,' where separate charges are issued by hospitals and physicians. The average cost for a primary care visit at a hospital outpatient department is significantly higher than at a physician's office. The report also notes a rise in the percentage of U.S. physicians employed by hospitals, contributing to these cost disparities.