Deloitte & Touche, commissioned by the National Governors Association, released a report last week on the current status of healthcare price transparency as seen through various stakeholder perspectives.
Most industry and government stakeholders interviewed believed that widespread adoption of price transparency is "a matter of when, not if," the study said.
The 24-page report, conducted by the Deloitte Center for Health Solutions and titled "Health Care Price Transparency: A Strategic Perspective for State Government Leaders," was based on 34 interviews with providers, health plans and employers and 12 interviews with federal and state policymakers.
It also found that states, in their roles as legislators, employers, payers, and public policy forums are in an ideal position to lead transformational change.
The study also revealed concerns, including:
• Consumers might not be prepared for price transparency and may not have the ability or interest to research price options.
• Potential challenges to establishing price transpency, including gaining the cooperation of providers, employers and health plans to share information.
• Healthcare pricing is difficult to calculate, given such a wide variety of factors and no current widespread standards for doing so.
According to Tommy Thompson, former Department of Health and Human Services Secretary and chair of the Deloitte Center for Health Solutions, states should be encouraged by the unique role they can play in advancing healthcare price transparency out of its infancy stage.
"Transformational change in healthcare cannot be achieved without leadership at the state level," Thompson said. "As a four-term Governor of Wisconsin, I am keenly aware that states can play a leading role in advancing price transparency in healthcare to achieve the ultimate goal of better healthcare at a lower cost for all Americans."
The study found that 33 states have passed statutes or laws that affect disclosure, transparency, reporting or publication of hospital and healthcare charges and fees. Notable state-driven efforts in price transparency were found in California, Florida, Massachusetts and Pennsylvania.
HHS Secretary Michael Leavitt has recently said that the Administration expects to have 60 percent of the healthcare industry on board for price transparency by spring 2008. The Bush value-driven healthcare plan involves industry-wide adoption of healthcare IT standards, quality of care reporting, cost reporting to patients and incentives for prividers who provide quality care at competitive prices, according to Leavitt.