March 31, 2025

Renewed push for healthcare price transparency faces familiar challenges

Editor's Note

Although a recent executive order from President Donald Trump aims to make hospitals and insurers reveal negotiated prices, data inconsistencies and a lack of consumer usability continue to hinder progress, according to a March 31 article from NPR.

As detailed in the report, the executive order builds on a 2019 initiative that mandated price disclosures. However, the rollout proved ineffective as hospitals and insurers posted massive amounts of complex and often confusing data. Consumer advocacy groups criticized the effort, and Congress failed to pass legislation to enforce transparency requirements.

Although President Trump’s 2025 executive order directs stricter compliance measures, experts remain skeptical about meaningful change due to data quality and other problems, NPR reports. For example, independent analyses have identified numerous “zombie” rates, where insurers report payments for services not offered by a given provider. Data also have revealed significant variations in prices for the same service within a single hospital, and some insurers reported identical charges for entirely different medical conditions.

Meanwhile, sources told the outlet that consumers still struggle to find useful, accurate information to calculate their out-of-pocket expenses. For example, health economist David Cutler says current transparency measures fail to account for variables like copayments and deductibles. Moreover, the data lacks quality indicators, leading some patients to equate higher prices with better care, which may not be the case.

The full report offers additional details and context on the challenges as well as solutions recommended by experts, including improved data accuracy, more user-friendly formats, and comprehensive cost estimates.

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