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It’s not just Medicare advantage. Some large plans are brutal in negotiating rates. I know of a small urban hospital that was getting lower reimbursement from a private insurance company than what Medicaid (typically the lowest payer) was paying them.
What is that hospital going to do though? Reject the plan? If that plan covers 25% of the people in the hospital’s neighborhood, they can’t very well reject those people or they all end up in the ED as charity care cases.
Presuming ED means the emergency dept 🤭
Seems like a firm enough assumption.
thats why i stay poor so i can have the best healthcare 😭
The easiest way to make profits as an insurance company is to not pay. It's a terrible economic model