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Why Do We Care About Doctor Self Referrals?

Let’s say a doctor refers a patient for an MRI scan to a clinic he has a financial interest in. Or sends a patient for a series of tests to a lab he owns. Should we care about any of this? We probably wouldn’t if patients paid for their own care with their own money. But when insurance pays the bills, the medical marketplace becomes like an arms race—with providers and payers constantly battling over what will be covered and will be paid.

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John C. Goodman is a Senior Fellow at the Independent Institute, President of the Goodman Institute for Public Policy Research, and author of the widely acclaimed Independent books, A Better Choice: Healthcare Solutions for America, and the award-winning, Priceless: Curing the Healthcare Crisis. The Wall Street Journal and the National Journal, among other media, have called him the “Father of Health Savings Accounts.”

New from John C. Goodman!
A BETTER CHOICE: Healthcare Solutions for America
Obamacare remains highly controversial and faces ongoing legal and political challenges. Polls show that by a large margin Americans remain opposed to the healthcare law and seek to “repeal and replace” it. However, the question is: Replace it with what?

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