I saw an article in the New York Times yesterday that was interesting for several reasons. You can read it here. For those unwilling to click through, or who have used up their “five free articles” for the month, here’s the gist of the story. An American woman needing a knee replacement went to Cancun for the procedure, and the entire trip and all medical costs were less expensive than just the procedure stateside.
As far as that goes, it’s just another medical tourism story. But there are a few twists. First, the surgeon was a US doctor who was also flown down to Cancun just for this surgery. He was accompanied by a Mexican doctor and staff, including a bilingual nurse who helped translate the doctor’s instructions. Why did the doctor do it, on his day off? He was paid triple the US Medicare rate for his work, including expenses.
Second, the woman and her husband are middle class folks from Mississippi, and her care came under her husband’s coverage through his employer, Ashley Furniture of Wisconsin. So this isn’t some ridiculously rich patient, nor a gold-plated health plan. Yet the health insurance provider paid all the expenses for the patient and her husband to stay at a resort attached to the hospital for the day before the surgery and ten days after. Oh, and she got a $5,000 bonus for agreeing to participate in the program. How? The total cost for everything was less than 40% that of doing the same procedure in the States. So Ashley furniture has saved millions in the last three years by offering this option to its employees.
Third, the care team consciously exceeded the health and care standards of US hospitals, using extra sterilization equipment and accelerating the physical therapy regimen. Why? the entire program is managed by a US firm called North American Specialty Hospital or NASH, who makes all the arrangements for the travel (even passports), connects the doctors and patients, and even provides malpractice insurance for the American doctor in case of complications. NASH insists on exceeding US standards to mitigate patient concerns; it’s the same reason they arrange for a US doctor. NASH is a for-profit business that gets a flat rate from the insurers for its work.
Last, why a private, upscale Mexican hospital? The cost per night is only $300 USD, and the care staff was excellent. As the patient related in closing, she would gladly come back and pay, as she was treated “like family.”
What we have here is a wining situation. Average couple gets high quality medical care: win. Company saves millions of dollars on said care: win. Upstart firm makes money ingeniously by putting consumers and providers together in an innovative way: win. Mexico gets credit for the quality of its care: win. Even the American doctor made out well.
Granted, this is not the solution to America’s health care challenges, if only because some people won’t accept it just because it is different. But it does show how there are ways out of the health care mess which don’t destroy the system as it exists. We need more innovative thought–and less sloganeering–on health care.