U.S. House Hearing Spotlights How Corporate Hospital Systems Fuel Healthcare Affordability Crisis

During Wednesday’s U.S. House of Representatives Energy & Commerce Health Subcommittee hearing examining the provider landscape, lawmakers called out corporate hospital systems for anticompetitive consolidation and predatory pricing practices that drive up premiums and out-of-pocket costs for Americans.

Here’s what they had to say:

Energy & Commerce Health Subcommittee Chair Morgan Griffith (R-VA09): “Americans are left navigating complex and often expensive medical bills, whether from a hospital or a routine appointment. Bills that they did not anticipate, cannot easily afford, and sometimes only learn about weeks or months after receiving care. When provider markets lack competition and transparency, prices can rise without patients having the information needed to make cost-conscious decisions.”

Energy & Commerce Chair Brett Guthrie (R-KY02), citing his wife’s experience with an unexpected $28,000 bill and referral by the hospital to collections despite having insurance: “This is why people are frustrated. […] I’m glad that I’ve experienced it, because I was committed to transparent competition in healthcare. And I am telling you, I am committed not just to moving a bill; I’m committed to getting it done. […] So, we’re going to deal with this. We’re going to fix it.”

Representative John James (R-MI10): “Consolidation is driving prices higher without improving quality. In fact, hospital-dominated markets can raise prices significantly, sometimes by double digits, while limiting patient choice. We also know the rules that were supposed to fix the system are not followed. Nearly half of all hospitals are still not complying with federal price transparency requirements. That’s unacceptable. When prices are hidden, patients lose power. When patients lose power, prices go up. And when costs go up, families in Michigan and across the country are forced to make impossible choices between care and groceries, between prescriptions and rent.”

Representative John Joyce (R-PA13): “When a hospital acquires a physician practice, patients are exposed to higher co-pays. They’re exposed to prices that are increased for the exact same services simply because the ownership and the name on the door has changed.”

Representative Mariannette Miller-Meeks (R-IA01): “Over the past decade or so, we’ve seen significant consolidation across the health care system […] particularly among hospitals and large health systems.”

Representative Kat Cammack (R-FL03): “Families across the country are paying more for health care, whether it is higher out-of-pocket costs, higher premiums, and ultimately, they’re seeing fewer and fewer choices of where they can receive care and when they can receive care. […] In market after market, consolidation is followed by fewer independent providers, less competition, and fewer real options. And in some cases, patients are paying more simply for the exact same service because of where it is delivered.”

Representative Erin Houchin (R-IN09): “This is the third hearing we’ve had on affordability. I think it may be the most consequential – because the provider landscape is where these issues meet real patients.”

Representative Nick Langworthy (R-NY23): “…patients should be able to see the cost of care up front, understand where their money is going, and make informed decisions before receiving treatment. Right now, too many prices are still hidden. We need better visibility across the healthcare system so that we can clearly see where the costs are coming from and who’s ultimately bearing them. And by bringing these costs into the open, we can create a more competitive system that works better for patients.”

Hospital Watch is a watchdog group dedicated to shining a light on corporate hospitals as the top culprit in driving up U.S. healthcare costs – exposing corporate hospitals’ monopolistic practices in price gouging patients with excessive markups and hidden fees with no transparency while forcing patients and employers to pay more for their care. Hospital Watch is a project of Better Solutions for Healthcare.