According to an analysis, Northern California hospitals in the six most populous counties collect 56 percent more revenue per patient day from insurance companies and patients than hospitals in Southern California’s six most populous counties. In San Francisco, the most high-cost county in Northern California, hospitals receive $7,349 per patient day on average. By comparison, in San Bernardino, the most low-cost county in Southern California, hospitals obtain $3,931, according to the news report.
Although Northern California hospitals tie the high cost of healthcare to higher costs for labor and supplies, economists say it’s the market. Sutter Health, a non-profit health system that consists of 24 hospitals, spreads across 100 cities and 20 counties. Insurers also say they charge more in customer premiums due to high hospital reimbursement rates in the North compared to the South. Aetna, for example, reimburses Northern California hospitals an average $5,169 per patient day, compared to Northern California hospitals with an average $3,578 per patient day, according to the news report.
Read the news report about healthcare costs in Northern and Southern California.
Read other coverage about healthcare costs:
– More Hospitals Publicizing Prices, Expanding Financial Counseling Services
– IOM Report Outlines Trends in Healthcare Cost
– Study: Physician Employment Improve Coordination But Could Lead to Increased Healthcare Costs
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