Here’s how I got nailed for $153.50 extra dollars (above what I would have normally paid - with insurance), because I went to the wrong Emergency Room.

Late on a Saturday night, I woke up to find myself shivering uncontrollably from fever chills. They were brought on by an infection that was both spreading and getting increasingly more swollen, and not responding to the oral antibiotics my doctor gave me. It was time for a trip to the Emergency Room.

I went to Providence Everett on Colby in Everett, WA. I knew they took my insurance and I had been there before. What I didn’t know was that since then, the doctors group that had a monopoly on the ER had stopped taking Blue Cross (although the hospital still did).

Though I knew it’s common for the doctors, radiologists, and other professionals to bill separately from the hospital (we got like 15 different bills when my wife had our son), I was not told that I was going to go into an ER where none of the doctors took the same batch of insurance plans the hospital did.

If a doctor or hospital or clinic takes your insurance, they have to bill you at the insurance’s allowed rates. These may be only slightly below the regular rate they charge the uninsured or may be as low as 1/4th of what they charge the uninsured. But if they don’t take your insurance, what usually happens is that they charge you what they charge the uninsured (which is basically whatever they want to charge), the insurance pays you a reimbursement based on their maximum allowed charge, and you pay the difference out of pocket.

So how did I get nailed for $153.50? The basic emergency room visit turned out to be right at what Blue Cross allows, so I paid the regular amount for that. BUT, while in the ER, the doctor numbed up the infected area and did an “I & D Abscess”, which basically meant he numbed me up around there, then poked around with a needle, looking for fluid pockets he could drain.

He didn’t find any and the whole thing took about 20 minutes.

Now here’s how I was billed. I was billed $470 for the ER visit itself, called “patient evaluation and management”. This basically pays the doctor for looking you over, deciding what needs to be done, and handling his share of the paperwork for your ER visit. Blue Cross didn’t argue with a penny of this. They paid their fair share of it and I paid my fair share of it.

But the “I & D Abscess” was a separate service from the ER visit and Blue Cross said normal payment for that is $298.50. I’d think that seems reasonable since the doctor was already getting a huge chunk of money for the basic work-up and paperwork. So the extra paperwork on this couldn’t be too major and his time with me on it was about 20 minutes.

But since the ER doctor has no contract with Blue Cross and doesn’t have to charge what they allow, he charged $452. Blue Cross paid their fair share of the $298.50 they allowed, leaving me with my fair share of that PLUS the difference of $153.50 between their allowed charge and what the doctor charged.

I called the Insurance Commissioner’s office and asked how this could happen. Don’t the doctors have an obligation to take the same insurance as the hospital? No. Doesn’t the hospital have an obligation to tell you specifically before you see their doctor that this doctor does not accept your insurance? No. Couldn’t the Insurance Commissioner do anything about this? Not under existing law, they said. They suggested I file a complaint with the Attorney General’s Consumer Protection Division. I have, but it’s early yet.

What I find most galling is that I know how databases work. I know how direly simple it would be to create a database of all the doctors in the hospital, put up a one-page intranet form with check boxes for the various insurance plans they might accept, and have the a billing person from each doctors’ group check off what they accept. Then, when a patient comes in, I could hit another intranet page, check off what insurance the patient has, and get a list of all the doctors who do or do not accept it. Heck, I could make that a self-service informational page on the hospital’s web site.

If the hospital gave me a list of their doctors and doctor groups, and access to their servers, I could build this in a day. So if it’s that simple, why aren’t the hospitals doing it?

Read The Next Post: The Emergency Room Trick - Part II - Be Prepared

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