Over at The Hill, they wrote about some new rules the Trump Administration hopes will drive down costs by increasing competition. I am leary of new healthcare regulations but I think these ideas may actually work. Here is what they said.
One regulation would require hospitals to provide a consumer-friendly online page where prices are listed for 300 common procedures like X-rays and lab tests. A second regulation would require insurers to provide an online tool where people could compare their out-of-pocket costs at different medical providers before receiving treatment.
Both of these regulations are slightly improved ideas for improving cost transparency. Recently I was looking at our Medicare plan to determine if our preferred doctors and hospitals were included in our network. Our preferred emergency care hospital and major hospitalization hospital were in our network so I was happy with our plan. So we know where we want to go. The next thing I looked at was planning our healthcare costs.
I like it when my doctor tells me upfront what a common procedure costs. I do not like it when doctors and hospitals surprise me with exorbitant out-of-pocket costs. This is a bipartisan issue so I help both sides will continue to work for our common good.
It is normal for me to shop for the best price. I do not have a problem shopping for the best price/value for any of the common procedures. As an example, I have been told by various friends that some common procedures such as an MRI may vary widely in price. In-network providers are great but if you have the cash on hand and you know the out-of-pocket costs then it may make sense for you to go out of the network for this service.
A regulation change the Trump Administration did not address is to allow people on Medicare to contribute to an HSA. People my age still have several more years before our first major hospitalization. It makes sense we should be allowed to continue to contribute to an HSA. The better we prepare for our future healthcare expenses, the better off we are. The lure of tax-exempt savings may just be the trick to better preparation.