Nevada’s health care industry is doing well; Health care consumers, not so much – Nevada Current

Nearly two-thirds of Nevadans experienced unaffordable health care burdens in 2022, dropping health insurance, struggling to pay medical bills, and delaying medical visits for dental care, addiction treatment, and mental health care.

The healthcare industry was doing well in 2022 though, According to Final analysis By America Care, a nonpartisan nonprofit dedicated to improving access to quality health care, was released at the end of November.

Health care premiums in Nevada have grown at a significantly higher rate than the cost of covered insurance claims, which contributes A record-breaking health insurance company benefit. The Nevada Department of Insurance (DOI) does not monitor provider and hospital rates, but monitors rates for small group and individual insurance plans in Nevada.

And Nevada hospitals have seen patient revenue exceed operating costs, according to an analysis by America Care, a nonpartisan nonprofit dedicated to improving access to quality health care, released in November. done

The findings are stark. You see on the one hand people who are really struggling with affordability in very deep ways and on the other hand, you have the health care industry that is profitable and doing very well financially, Liz Hagan, director of policy solutions at US Care, said in an interview.

According to the report, both Nevada insurance companies and hospitals saw profit margins above 15%.

The states’ largest private health insurance companies, UnitedHealth Group, Centene, and Anthem Blue Cross Blue Shield, are some of the most profitable Fortune 500 companies. UnitedHealth Group is expected to generate $28.4 billion in national revenue in 2022, a 19% increase over 2021.

In addition to revenue from the individual insurance market, the three companies cover 900,000 Nevadans who pay for insurance. Medicare Advantage plans, with sales estimated at $2 billion each. They cover a large 46% of Nevada with employer coverage.

Representatives of the United StatesUnitedHealth Group, Centene, and Anthem Blue Cross Blue Shield did not respond to requests for comment.

Compared to many other parts of the country, Nevada’s hospital industry has become significantly more privatized. At 55.3%, the state ranks 13th for the highest percentage of for-profit hospitals, according to 2021 data, which is the most recently reported. analysis By care of the United States.

The analysis points to this as one of the causes of high health care costs in the state, noting that despite the COVID-19 outbreak disrupting hospital operations, the hospital has recovered financially with the help of federal grant funding and that For-profit hospital patients’ revenue exceeds the amount the government spends on operations.

Sunrise Hospitals and Medical Center, which owns the largest for-profit health system in the United States, Hospital Corporation of America, charges the second highest inpatient rates relative to the actual cost of care of any hospital in the country. Average bill markup rate 12.9.

Representatives of Sunlight Hospital and Medical Center did not respond to requests for comment.

Those benefits don’t translate into better care Nevada ranks 41st overall in health system performance, and last in prevention and treatment, according to the report. Nor does the poor rating translate into steady rates in 2023, with Nevada consumers facing a 9% increase in health insurance premiums, according to the report.

The effects of rising health care costs extend to other aspects of life.Higher hospital bills and health premiums have also been used to justify these increases. Car insurance premium And health care debt increases, causing people to cut back on other household expenses, reduce savings, skip paying other bills, or go to college, buy a home, or change their lifestyle. According to KFF, A non-profit organization that conducts health care research, journalism, and communication programs.

There are some state-level efforts to address the capacity crisis in Nevada health care, including cuts Prescription drug prices and development a Health Care Development Standard Through the Patient Protection Commission.

State lawmakers have laid the groundwork to create a public option health insurance program designed to offer low-cost coverage. However, while filing for a federal waiver is required to implement the public option, Gov. Joe Lombardo’s administration has prioritized federal funding for the reinsurance program for insurance companies.