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Prices For Common Medical Services Vary Substantially Among The Commercially Insured
David Newman1, Stephen T Parente2, Eric Barrette3
1David Newman (dnewman@healthcostinstitute.org) is the executive director of the Health Care Cost Institute, in Washington, D.C.
Abstract:
Using a national multipayer commercial claims database containing allowed amounts, we examined variations in the prices for 242 common medical services in forty-one states and the District of Columbia. Ratios of average state prices to national prices ranged from a low of 0.79 in Florida to a high of 2.64 in Alaska. Two- to threefold variations in prices were identified within some states and Metropolitan Statistical Areas.
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