1.5 minute read
Hospital stays are becoming more expensive for Americans, leaving some with a large amount of medical debt. According to the personal finance website ValuePenguin, U.S. workers making $26.22 (the national average hourly earnings) must work 504 hours to cover a typical out-of-pocket hospital stay. The average hospital stay is 4.6 days and costs those without insurance an average of $2,873 per day for inpatient/outpatient treatment.
The cost of an average hospital stay has increased by 98% since 2004; however, this increase drops to 35% when adjusted for changes in hourly earnings over time.
The data differs depending upon where you live. Wyoming is the most affordable state with residents needing to work only 269 hours to cover the average stay. And Oregon residents need to work the most hours - 646, for the average stay. Those states with the most expensive stays also tend to have the fewest primary care providers per capita.
Rising health care costs are linked to increased market consolidation between health plans, hospitals, pharmacy benefit managers, and other entities. Providers can charge more in locations with fewer providers. The price for medical equipment and prescription drugs also continue to rise.
There are several things an individual can do to reduce hospital costs including selecting an insurance plan that provides the benefits and care they need, establishing a health savings account to provide a safety net in case of medical emergency, and checking medical bills for errors. Download the bulletin for more details.