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Drop docs' fees and watch costs go down

September 23, 2009 12:36 am

Drop docs' fees and watch costs go down

I strongly agree with the opinions of Dr. Donald Bley ["Public option: Can a righteous nation do less?"] and Dr. Wayland Marks ["Insurance reform alone won't cure sick system"] presented in their Sept. 9 letters.

Today I must pass on some information about how out of control medical specialists' fees have become.

The primary care doctors we visit several times a year provide services to keep us healthy. The specialist, whom we may see a few times in our lifetime, can make more money seeing us once than our family doctor makes for a whole year.

Let me explain the business model of the largest radiology practice in our area.

Recently, I read that there are 22 partners in the group. Each one will earn more than $400,000 this year, and some more than $500,000.

I don't know of any small business that sells a product or service that could afford to pay 22 executives or managers $400,000 per year!

UMW is a large school with about 150 Ph.D.s. on the faculty. Could UMW afford to pay 22 professors $400,000 a year? No way.

This business model is not possible except in medicine. We wonder why health care costs are so high!

The icing on the cake is the technical fee associated with your X-ray, MRI, or CT scan. The radiologist is paid a third of the procedure's cost for interpreting the film. Two thirds of the fee goes to the company that owns the equipment.

So the radiologist receives $500 for an MRI that costs $1,500. Reading the film and dictating the report into a machine takes about 15 minutes.

The annual cost for this group of doctors' salaries is $10 million to $11 million per year, and the total cost for patients and their insurance companies is about $35,000 for radiology services that do not cure any diseases.

How did these fees become so outrageous? We need a 50 percent reduction in radiology, cardiology, anesthesiology, and surgeons' fees now, along with making all private insurance companies not-for-profit institutions, as they are in almost all other countries.

Robert Walter

Fredericksburg





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