Despite price hikes for hospital stays in Maryland that likely will lead to increased insurance premiums for patients, both hospitals and insurers say they're still going to need more money to stay afloat.
Overall, the Maryland Health Services Cost Review Commission approved a 2 percent price increase for hospital stays, which results in a $386 rise for the average patient's hospital bill to $12,141 (4.4 percent), reports the Baltimore Sun. Carmela Coyle, president and CEO of the Maryland Hospital Association, said she was "disappointed" in the decision to approve an increase "well-below inflation" levels.
"Today's update decision will result in hospitals being paid less than the cost of the care they provide and will push already-strained hospitals to the brink of financial stability," Coyle said in a statement. "Today's decision lowered our joint below-inflation recommendation by an additional $57 million."
Coyle also added that some hospitals could be forced to lay off workers due to the lack of a larger increase. Overall, the increased fees are expected to generate $596 million, which will go to treating uninsured patients and paying off Medicaid debt.
The MHA and insurers CareFirst BlueCross BlueShield and UnitedHealthcare had requested a 2.4 percent increase in hospital charges, which they claimed was necessary to help lower readmission rates.
To learn more:
- read this Baltimore Sun article
- here's Coyle's statement