The Surgery Center of Oklahoma in Oklahoma City is making headlines with a unique approach to surgery center billing — an entirely "cash only," free market policy that guarantees rates for procedures, according to an Oklahoma Watchdog report.
Physician founder Keith Smith, MD, who started the center in 1997, recently explained his stance on pricing at a state Capitol event. He said a company in the Dallas metroplex has designated the surgery center a partner for employee healthcare, since the savings from procedures performed at the center yield lower costs for the employer.
The center also works with several other businesses that are self-insured and pay employee bills directly.
According to the report, the center only "carefully engages" with commercial payors and does not work with Medicare or Medicaid. Three years ago, Dr. Smith started posting prices for 112 common surgical procedures at the facility, believing patient volume would increase drastically if patients could see the difference in pricing between the surgery center and local hospitals.
Dr. Smith said there are potential roadblocks to other centers like his, namely the federal government. His multi-specialty center performs a diverse range of specialties, including orthopedics, ENT, general surgery, urology, ophthalmology, foot and ankle and reconstructive plastics. A smaller center that relies on Medicare-heavy specialties, such as GI and ophthalmology, might have more trouble operating without government reimbursement.
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Physician founder Keith Smith, MD, who started the center in 1997, recently explained his stance on pricing at a state Capitol event. He said a company in the Dallas metroplex has designated the surgery center a partner for employee healthcare, since the savings from procedures performed at the center yield lower costs for the employer.
The center also works with several other businesses that are self-insured and pay employee bills directly.
According to the report, the center only "carefully engages" with commercial payors and does not work with Medicare or Medicaid. Three years ago, Dr. Smith started posting prices for 112 common surgical procedures at the facility, believing patient volume would increase drastically if patients could see the difference in pricing between the surgery center and local hospitals.
Dr. Smith said there are potential roadblocks to other centers like his, namely the federal government. His multi-specialty center performs a diverse range of specialties, including orthopedics, ENT, general surgery, urology, ophthalmology, foot and ankle and reconstructive plastics. A smaller center that relies on Medicare-heavy specialties, such as GI and ophthalmology, might have more trouble operating without government reimbursement.
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