Hospitals’ list prices for surgeries, therapies, and other procedures always come with massive discounts. Financial documents at a prominent hospital system in Los Angeles show just how large those discounts are — and how raw of a deal uninsured patients could be getting.
Cedars-Sinai reported more than $10.2 billion of gross patient revenue in the most recent three-month period that ended Sept. 30, according to new financial documents. That’s the total amount the hospital system billed various health insurers and government programs based on its chargemaster rates — in other words, before negotiated discounts were applied.
Total deductions, which mostly include those negotiated or mandated discounts, were more than $8.6 billion in that same quarter. That means more than 84% of Cedars-Sinai’s gross charges disappeared into the ether.
About the Author Reprints
To submit a correction request, please visit our Contact Us page.
STAT encourages you to share your voice. We welcome your commentary, criticism, and expertise on our subscriber-only platform, STAT+ Connect