Price Fixing and other fun stories...

Does it irk anyone else the huge price difference available?

Every local medical supply place that I call quotes me the price on "a CPAP machine". Which make? Model? Features? "Oh, no, sir, This price is what they sell for in NH, so this is what we charge."

How very interesting, then, that I can take my prescription to cpap.com and order the same equipment at about 35% of the price.

So let me get this straight: I can buy my CPAP machine, with carrying case, heated humidifier and all hoses for $565. Another roughly $100 for a mask, I'm out under $700. But my insurance company won't pay for it, because it's "out of network" and so I have to meet a $1000 deductible first.

IN network, the same set up runs me $1850. And that's not the going rate, that's the DISCOUNTED rate that Cigna has negotiated, DOWN from the going rate. Almost 3 times what I can buy it for. Now, Cigna limits my durable medical equipment to $700/year. So, going Cigna's way, we buy an $1850 set-up, Cigna forks over $700, I'm out of pocket $1150. My way, I buy the whole thing on the bubble, no insurance invoved, and total cost is around $670. But trying to get Cigna to fork over that $670 (thus saving them $30) is impossible.

If I were a lawyer, or had influential congressfriends, I might just want to have a looksee in how within the Insurance industry, pricing policies which are considered highly illegal "Price Fixing" are someone a good way to do business...

Ah well, another unproductive rant as I pant like Darth Vader and try to distract my mind from the new age plastic sculpture art which is right now giving my face a blow job.

--Liam.

Liam,

Congratulations on discovering how insurance companies make their money. You pay huge premiums and when it comes down to it they pay nothing on your claim. In the mean time the DMEs wine and dine the insurance executives while negotiating these supposed "discount" rates when in reality what they are negotiating is their cut of your pie. Buy the stuff where you get the best value (service + price) In my case that was cpap.com... head and shoulders above the rest.

Keep in mind your rant was not unproductive. You know the truth and though it hurts, you're better for knowing it.