Compliance Costs Keep Premiums Skyrocketing.

PositionHEALTH INSURANCE

Regulatory costs on our hospital systems are a substantial burden, as these requirements drive up the overall cost of health care in the U.S.--a system already overburdened by exorbitant premiums, deductibles, and fees.

Says Mark Galvin, CEO of MyMedical-Shopper: "The health-care system is bloated by requirements that are tremendously expensive to comply with and which many consumers are unaware of. When applied to procedures that don't require this level of governmental oversight, these hidden costs drive spending up for everyone."

Galvin points out that U.S. businesses and taxpayers spend close to 3.5 trillion dollars on health care annually--17.9% of the country's gross domestic product. "While much of this spending is attributed to prescription drug costs and care for chronic illnesses, the administrative burden for hospital facilities also is increasing steadily, as health-care providers and facilities must comply with more than 600 separate regulatory requirements as part of efforts to promote patient and provider safety and well-being.

Regulatory burden costs $1,200 every time a patient is admitted to a hospital. When a...

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