Much has been said about the impact of medical malpractice lawsuits on the increasing costs of healthcare. Although it has been disproven that medical lawsuit payouts are increasing (payouts for physician error have fallen every year since 2001) and that malpractice premiums are rising for physicians (they’re lower than they have been in years), many politicians and citizens are still pointing fingers at the legal system and calling for change. ProPublica, a public interest advocacy group, has begun to examine the true reasons why healthcare costs and insurance premiums for Americans are higher than ever. Among their findings: unjustifiably high administrative costs, high prices for treatment, over treatment, and medical supply waste, all said to be found at the hospital-level. Medical waste seems to be hardly discussed, but with constant talk of changing the Affordable Care Act and the need for controlling surging medical costs, medical experts have begun to speak up about the excessive amount of unused, perfectly good materials discarded from hospitals, physician offices, clinics, and medical centers in this country.
Medical Supply Waste: A Blessing and a Curse
In 2012, the National Academy of Medicine conducted a study that found that an estimated $765 billion a year was wasted on unused, unnecessary medical supplies and equipment. For a point of reference, the study authors noted that the amount of waste was more than the annual budget for the Department of Defense. It’s a jaw dropping fact to face and one that any hospital, nursing home, or clinic employee can attest to. Ultrasound machines, beds, walkers, and other equipment is discarded when newer models come out, or when something is considered a risk to patient safety or infection control. While the primary focus should always be the safety and health of patients, steps should be taken to address how hospitals can better manage their ordering and inventory in order to avoid waste at such an excessive level.