Michael Eastman, JD, RT (R)(CT)(MR), director of imaging, Derry Imaging, derryimaging.com
Q. What strategies can companies use to reduce health care costs?
A. Companies can significantly reduce health care costs by leveraging strategies like using independent imaging centers and surgical centers, implementing tiered networks, promoting price transparency, and investing in employee education. Moreover, long-term savings are possible through wellness initiatives and encouraging preventative care.
Q. How can choosing independent imaging centers help companies save on costs?
A. Independent outpatient imaging and surgical centers generally charge significantly lower rates compared to hospitals. Encouraging employees to use these facilities instead of hospital-based services can reduce costs by 30% to 70% without compromising quality. Some health plans also offer incentives for using low-cost imaging and surgical providers. These savings can be in a reduced copay, a waived deductible, or sometimes as a cash or gas card incentive for traveling to a low-cost facility.
Q. How does employee education help in controlling outpatient imaging expenses?
A. Educating employees about the differences in imaging costs between hospitals and standalone centers, as well as the importance of using in-network providers, can encourage smarter health care choices. This reduces unnecessary expenses and aligns employee behavior with cost-saving strategies.
Employees should also be educated on how their plan operates and the incentives available to them through the company or insurance provider.
Q. What is outpatient imaging, and why is it significant for health care costs?
A. Outpatient imaging centers, like Derry Imaging Center, perform diagnostic tests like X-rays, MRIs, CT scans and ultrasounds that don’t require hospital admission. Imaging services are often a major contributor to health care costs, but companies can reduce these expenses by strategically managing where and how employees receive these services. Some hospital systems have outpatient imaging centers or surgical centers, but may utilize the same negotiated rates with the insurance carriers as what they charge at the hospital. This is why it is important to understand price transparency and to ask the facility what your exam or test will cost.
Q. What role does transparency in pricing play in reducing imaging costs?
A. Price transparency allows employees to compare imaging costs across different providers. Tools like price-comparison websites or apps help employees make informed decisions about where to get imaging services, leading to cost-effective choices for both the company and the individual. These websites are a great starting point to explore costs and savings, but it is best practice to contact the facility directly to inquire on the cost of the exam. Some imaging centers have an online price tool that you can inquire directly to get a quote for your services, such as www.myimagingprice.com.
Q. Can implementing tiered networks reduce outpatient imaging costs?
A. Yes. A tiered network design can incentivize employees to choose lower-cost, high-quality imaging centers. Employees are guided to use preferred providers in exchange for lower out-of-pocket costs, reducing the company’s overall spending.
Q. Is it possible to reduce costs by negotiating directly with imaging providers?
A. Yes. Companies can negotiate directly with imaging centers to secure discounted rates for employees. By forming partnerships with local or regional imaging facilities, employers can benefit from negotiated pricing, creating cost savings while ensuring accessible care.
Q. Are there long-term benefits to investing in wellness programs to reduce imaging costs?
A. Absolutely. Wellness programs focusing on preventive care offer long-term benefits by reducing the need for costly imaging services. Encouraging healthy habits such as regular exercise, smoking cessation and stress management can prevent chronic conditions like heart disease or back pain, which often lead to expensive diagnostic tests. Promoting preventive measures, such as vaccinations and annual screenings like mammograms and lung cancer screening CT scans, also allows for early detection and treatment of diseases, minimizing future health care costs.
