Consumers Prefer Transparency in Paying for Healthcare

While many consumers expect to have to shell out money for a copay when they see a doctor, they still approach the visit with the same question they have about most transactions: What will it cost?

PYMNTS’ research has found that consumers want transparency into the healthcare costs, with 89% of respondents saying that knowing their bill and making a payment prior to their visit is an easy way to pay.

Receiving cost estimates is more common when dealing with behavioral health specialists and primary and specialist physicians, but as a whole, just 30% of patients said they received a cost estimate ahead of their most recent treatment.

However, our data finds that just 18% of patients paid before their most recent visit, while half of consumers paid for their last visit after it occurred. Sixty-six percent of respondents reported paying for their most eye care appointment after the visit, and 61% they did the same following their most recent trip to the dentist.

Post-treatment payment can create a potential collection issue for practitioners, and paying for a visit at two different times is something less than half of patients consider easy.

Despite rising health costs, only 30% of consumers get cost estimates before treatment, although a wide majority — 86% — of these patients say it was easy to get that estimate. Among the 70% unable to get an estimate, 55% said they would not have found this projection helpful.

Last year, consumers paid about $810 on out-of-pocket healthcare visits on average, with uninsured patients spending almost 20% more for out-of-pocket medical visit costs than patients who had health insurance.

Our research also found younger patients — Gen Z and millennials — paid the highest out-of-pocket costs. Roughly 21% of patients reported spending more on healthcare than in previous years.

Meanwhile, consumers who live paycheck to paycheck face high healthcare costs, even with insurance. The average patient spent approximately $1,150 on out-of pocket healthcare costs in the last 12 months. This figure included visits and prescriptions but excluded the costs of health insurance premiums.

To learn more about how cost transparency and payment flexibility keep patients satisfied and loyal, download the Wellness And Affordability report, a PYMNTS and CareCredit collaboration.