The Trump administration has warned more than 500 hospitals nationwide that they are failing to comply with federal price transparency requirements by failing to disclose costs of medical services, arguing that it drives up health care costs higher than necessary.<\/p>\n\n\n\n
The Associated Press obtained a list of hundreds of hospitals that were issued warning letters or corrective action requests. Hospitals that fail to comply or address the violations could face penalties as high as $2 million per year.<\/p>\n\n\n\n
The letters are intended to prevent situations where hospitals without clear pricing information make it difficult for patients, employers and insurers to shop for care and compare costs of treatments such as blood work or imaging tests, resulting in higher spending.<\/p>\n\n\n\n
A senior administration official granted anonymity to speak told the AP that more hospitals are likely to receive letters in the future, particularly regarding the absence of pricing data. The official also said President Trump plans to tighten the enforcement of price transparency standards \u2014 a key policy move addressing affordability in a midterm election cycle.<\/p>\n\n\n\n
Texas had the highest number of hospitals that received warning letters, with 42 facilities cited for alleged price transparency issues, including Baptist Medical Center in San Antonio which is one of the state\u2019s largest hospitals with 1,585 beds.<\/p>\n\n\n\n
Indiana had 34 hospitals receive warning letters, while California had 38 despite having a significantly larger population.<\/p>\n\n\n\n
Hospitals are one of the biggest drivers for increased health care spending in the U.S., accounting for roughly 31 percent of all health care costs, according to federal data.<\/p>\n\n\n\n