4 Ways Hospitals Charge You More Money Than Necessary

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You should never pay a medical bill until you review it carefully to ensure it’s correct. Discover how medical providers and hospitals overcharge patients. 

Unfortunately, affordable healthcare can be hard to come by in the United States. For many Americans, costly bills after a hospital visit or procedure aren’t uncommon, even with health insurance. When you receive a medical bill, it’s essential to carefully review the charges to ensure it’s accurate. That’s because many hospitals charge you more than necessary. I’ll outline a few ways this happens below and explain how to avoid being overcharged.

1. Duplicate billing

A common way for patients to be overcharged for medical care is duplicate billing, which is when a medical provider bills for the same procedure, test, or treatment more than once. This could occur on one bill or when receiving multiple bills for hospitalization or a procedure. Double billing can be easy to miss, so it’s important to carefully review all medical bills.

2. Upcoding

Another way patients are charged more than necessary for medical care is through upcoding. This practice is when a health care provider submits codes for more expensive diagnoses or procedures than what was diagnosed or performed. Some medical providers and practices use this deceptive practice to receive higher reimbursement for care.

3. Data entry errors

Patients can also be overcharged for medical care because of data entry errors. For example, if a mistake is made while your health insurance information is entered into the billing system, you may be denied coverage for procedures or treatments. A mistake like this could significantly impact your checking account.

4. Medical coding errors

Medical providers use codes to explain diagnoses, treatments, and procedures. These codes determine the cost of medical care during the billing process. If the wrong code is used, a patient will receive an incorrect bill, and it could be more costly than necessary. If your bill feels overly expensive, it’s possible that a coding error occurred.

Do this to avoid being overcharged for medical care

No one likes to be billed more than necessary. When it comes to medical care, being overcharged can significantly impact your personal finances. Whenever you receive a bill in the mail for medical treatment, it’s essential to carefully review it to ensure it’s accurate before paying it. If you don’t do this, you may pay more.

If you think something looks off or have a question, it’s always worthwhile to reach out to the medical provider for further clarification. Often, patients are sent a lump sum bill. You can instead ask for an itemized bill to be sent to you. An itemized bill will show a breakdown of each charge, making it easier for you to confirm if the total is correct.

You can also contact your health insurance company to discuss the bill or charges. Before doing this, it’s best to review your insurance coverage in detail to ensure you understand your coverage. If a claim has been denied, and the insurance company won’t budge, you can file an appeal. Be sure to do so quickly, as there may be a timeline for the appeals process.

It’s important to be aware that overcharging for medical care happens and to be alert to some of the ways you could be affected by this practice. Keep this information in mind the next time you get a medical bill. Taking a few extra moments out of your day could help you keep more money in your pocket. Every bit of money saved makes a difference.

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The Ascent does not cover all offers on the market. Editorial content from The Ascent is separate from The Motley Fool editorial content and is created by a different analyst team.Discover Financial Services is an advertising partner of The Ascent, a Motley Fool company. Natasha Gabrielle has no position in any of the stocks mentioned. The Motley Fool recommends Discover Financial Services. The Motley Fool has a disclosure policy.

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