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Healthcare costs in the US are higher than in any other country in the world, exceeding $2.6 trillion, which is around 18 percent of the country’s entire GDP. This number continues to rise year after year because of many reasons. Here are five of them:
Medical professionals are being paid for service quantity, not quality. This pay-per-service system reimburses medical professionals for each procedure, test, or visit, and encourages overtreatment and unneeded, repetitive tests.
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Americans today live longer. They are also heavier, which makes them more prone to diseases. Due to advances in medical technology, people today have longer lives, which means a prolonged need for medical care. In addition, a lot of Americans today have chronic diseases linked to obesity.
Americans want more medical innovation. Innovations in medical care equate to longer and better quality of life. Americans always want to be at the forefront of innovation. Sadly, many of the new treatments are only slightly better than the ones they have replaced.
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Larger medical systems can demand higher prices. In some places in the US, hospitals are fast becoming monopolies, buying up and swallowing their competition, thus jacking up prices.
There is an overuse of care. Some people who get their medical insurance with low deductibles through their employers often overuse it. If this is combined with medical professionals’ penchant to overtreatment, then healthcare costs increase higher.
New efforts by the government and some private insurers now work toward lowering the incidents of overtreatment by working on moving the pay-per-service system to a flat rate-per-condition system. In addition, medical travel providers, like Satori World Medical and Companion Global Healthcare, aim to reduce healthcare costs by promoting affordable high-quality medical care outside the US.
For more information on reducing healthcare costs, visit this website.
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