Costs associated with air ambulance services among commercial insurers have skyrocketed over the past several years, according to a new study from FAIR Health.
FAIR's analysts found the average charge for fixed-wing air ambulance services rose by 27.6% between 2017 and 2020, increasing from $19,210 to $24,507. Average in-network allowed amounts grew by 76.4% in that same window, rising from $8,855 in 2017 to $15,624 in 2020.
Average Medicare reimbursements rose by 4.7%, growing from $3,017 to $3,216.
The study also found that air ambulance claims lines increased by 30% as a share of overall ambulance services, growing from 0.7% of ambulance services in 2016 to account for 0.9% in 2020.
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"Air ambulance services have been the subject of substantial policy focus. We hope that this study of air ambulance transport proves productive to policy makers, researchers, payors, providers and consumers seeking to better understand this corner of the healthcare system," said Robin Gelburd, FAIR Health president, in a statement.
Air ambulance costs have come under scrutiny of late as part of the surprise billing debate. Air ambulance providers are often out-of-network for patients, which can lead to sky-high, and unexpected, bills.
In addition to the costs associated with these services, the study analyzed which states were using the highest volumes of air ambulance services and what conditions accounted for large amounts of claims. In 2020, COVID-19 accounted for the second-highest amount of fixed-wing air ambulance claims.
Between 2016 and 2020, conditions that accounted for the most air ambulance use were cerebrovascular issues, heart attacks, head injuries, injuries to the body and strokes.
Alaska, Wyoming, South Dakota, Montana and New Mexico were the states in which fixed-wing air ambulance services accounted for the largest portion of overall claims lines, FAIR Health found. Virginia, Kentucky, New Hampshire, New Jersey and Vermont were the states in which such costs accounted for the lowest portion of overall claims.