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re: Healthcare costs and tort reform - crushing your myths

Posted on 2/2/14 at 2:52 pm to
Posted by Taxing Authority
Houston
Member since Feb 2010
57455 posts
Posted on 2/2/14 at 2:52 pm to
quote:

Gallup reports that one in four healthcare dollars spent in healthcare can be attributed to defensive medicine – about $650 billion annually.
It's almost impossible to get a valid number. It's too intertwined with insurance. If a patient doesn't NEED an MRI of their head, but... since 1) they aren't paying and 2) it lowers the chance of getting sued -- why would you NOT order as a doctor? There are almost no visible consequences to the doctor nor patient.

Medicaid also complicates the issue. Those patients are much more likely to sue. And are very demanding of procedures above-and-beyond standard. NO doctor is going to admit to ordering unnecessary nor defensive procedures if Medicaid/Medicare is the payor. Opens them up to fraud prosecution.
Posted by Taxing Authority
Houston
Member since Feb 2010
57455 posts
Posted on 2/2/14 at 2:55 pm to
The other flaw is the "study" examines costs. Not price. Two different things that are often misused interchangeably when talking about healthcare.
Posted by Diamondawg
Mississippi
Member since Oct 2006
32463 posts
Posted on 2/2/14 at 3:04 pm to
quote:

It's almost impossible to get a valid number.
Not almost impossible but totally impossible. Just noting that Powerman's study showed $46B which he called significant but not a big deal. This study is more than 10 times that or 1 in 4 healthcare dollars spent in the defensive mode.
Posted by Powerman
Member since Jan 2004
162283 posts
Posted on 2/2/14 at 3:04 pm to
quote:

It's almost impossible to get a valid number. It's too intertwined with insurance. If a patient doesn't NEED an MRI of their head, but... since 1) they aren't paying and 2) it lowers the chance of getting sued -- why would you NOT order as a doctor? There are almost no visible consequences to the doctor nor patient.


But let's not forget that doctors can be assholes on their own without the consideration of litigation.

Take away #2 and the doctor still has an incentive to do an MRI

In fact I was given a CAT scan once and I'm almost certain that it wouldn't have been done if I didn't have insurance. It was completely unnecessary in retrospect.
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