We use cookies, including third-party cookies from Google to serve personalized ads through AdSense, to operate this site and understand how it is used. By continuing to browse, you accept this use. See our Privacy Policy and Terms of Use for details, including how to opt out of personalized advertising.
Accept
Health Works CollectiveHealth Works CollectiveHealth Works Collective
  • Health
    • Mental Health
  • Policy and Law
    • Global Healthcare
    • Medical Ethics
  • Medical Innovations
  • News
  • Wellness
  • Tech
Search
© 2023 HealthWorks Collective. All Rights Reserved.
Reading: Facility Fees For Office Visits: What is the Role of Health Plans?
Share
Notification Show More
Font ResizerAa
Health Works CollectiveHealth Works Collective
Font ResizerAa
Search
Follow US
  • About
  • Contact
  • Privacy
© 2023 HealthWorks Collective. All Rights Reserved.
Health Works Collective > Business > Finance > Facility Fees For Office Visits: What is the Role of Health Plans?
BusinessFinanceHospital AdministrationPolicy & Law

Facility Fees For Office Visits: What is the Role of Health Plans?

DavidEWilliams
DavidEWilliams
Share
3 Min Read
SHARE

Yesterday’s Boston Globe article (Hospital charges bring a backlash) was spot on. Reporter Liz Kowalczyk nailed the topic:

Yesterday’s Boston Globe article (Hospital charges bring a backlash) was spot on. Reporter Liz Kowalczyk nailed the topic:

  • Hospitals are adding facility fees in the hundreds of dollars for many visits to hospital-owned physician practices, even when those practices are nowhere near the hospital
  • Facility fees are becoming more common as hospitals purchase formerly independent physician practices and tack on the fees
  • Patients are pushing back. One reason is that more of them have high deductible plans that force the patient to bear more of the cost
  • Insurance companies are aware of the issue but have generally been allowing the fees

I’ve been following this topic for some time, and for me the last two bullet points are the intriguing ones. In December (Facility fees for hospital-owned physician offices: A nasty surprise for patients) I wrote:

In general health plans and self-insured employers have just put up with the high charges or haven’t made it a priority. The biggest difference now is that patients are being exposed to the facility fees and finding that they owe much more after a test than they used to. So while hospitals used to shrug their shoulders at the issue in the past, they find it a little harder now.

This situation presents health plans with an opportunity to demonstrate what value they can add. Health plans should have identified this issue earlier and taken more vigorous steps to oppose it than they have, but many lack the data and analytic tools to pinpoint the shift, some may be in a weak negotiating position relative to the major hospital systems, or may have accepted the facility fees in exchange for other concessions.

Now that consumers have identified the issue and the Globe has focused attention on it, I’ll be interested to see what health plans do. If they don’t take steps it will call into question the value they bring to their customers and will invite intervention from the state.

 

TAGGED:facility fees
Share This Article
Facebook Copy Link Print
Share

Stay Connected

1.5KFollowersLike
4.5KFollowersFollow
2.8KFollowersPin
136KSubscribersSubscribe

Latest News

How Road Trauma Injuries Place Demands on Healthcare That Go Beyond the Examination Room  -- AI-generated illustration
How Road Trauma Injuries Place Demands on Healthcare That Go Beyond the Examination Room 
Global Healthcare Policy & Law
October 15, 2026
Why Music Gives The Brain A Workout -- AI-generated illustration
Why Music Gives The Brain A Workout
Infographics Wellness
October 14, 2026
A Hydration And Heat Guide For Youth Cheer -- AI-generated illustration
A Hydration And Heat Guide For Youth Cheer
Infographics
October 13, 2026
Flat editorial illustration: Core relationship is dual-track recovery where family support improves outcomes only when families m
Supporting a Loved One Through Addiction Recovery
Addiction Recovery
October 13, 2026

You Might also Like

Welcome to the Affordable Care Act Call Center, Please Press One for Healthcare, Two for….

June 28, 2013
cannabis healthy
Health carePublic Health

7 Creative And Practical Ways To Use Cannabis

February 5, 2020
Hospital Administration

How To Improve Your Experience At The Doctor’s Office

August 7, 2022
Bayer's Essure
BusinessNewsPublic Health

Essure: More Dangerous Than Alternatives or Simply a Failure to Communicate Risks?

January 11, 2014
Subscribe
Subscribe to our newsletter to get our newest articles instantly!
Follow US
© 2008-2026 HealthWorks Collective. All Rights Reserved.
  • About
  • Contact
  • Privacy
Welcome Back!

Sign in to your account

Username or Email Address
Password

Lost your password?