A modern health insurance plan can save customers money

Ross Klosterman is the CEO and co-founder of Poppins Health of Columbus, a new health plan for small businesses.

To the question, “Why do health insurance companies exist?” A reasonable person would probably answer that the role of health insurance companies is to use their influence to negotiate and keep health care costs low for members.

Then that same person may get angry when they find out that as an individual, with virtually no negotiating power, they can often end up paying less out of pocket for medical services than what insurance companies do. agree on their behalf.

Which leads us to the following dubious but common scenario: a family of four pays an average of $ 22,000 a year in insurance, in addition to the estimated deductible of $ 5,000, before insurance even begins. How did this become the norm in the US?

More ▼:Ohio hospital prices vary significantly for the same procedures

The answer may lie in how broken healthcare prices are. Most of the knee and hip replacement is done with network providers (meaning that the insurance has agreed with them). As a result, the total cost – and ultimately what members pay out of pocket – can vary drastically, even within the same facility.

Ross Klosterman is the CEO and co-founder of Poppins Health of Columbus, a new health plan for small businesses.

More ▼:How to send feedback columns to Columbus Dispatch guests

According to the latest data, the price for the same procedure in a hospital in San Francisco is in the incredible range from $ 22,865 to $ 101,571. Because each hospital and insurance company has a different process for determining the cost of the procedure, one patient can pay thousands of dollars more than someone else in the same place.

Leave a Comment

Your email address will not be published.