Hospital Charge Information
Schoolcraft Memorial Hospital is committed to increased transparency around healthcare costs, including price information for consumers.
Federal regulations require hospitals to share cost information with patients every day. Every patient, and every patient’s needs and complications, is different and requires individual attention. Our Patient Financial Services (PFS) staff are available to assist with the Patient Liability Estimator, a tool which assists with understanding the services and charges which a patient may expect when they schedule a procedure. Schoolcraft Memorial Hospital remains committed to ensuring that our pricing strategy for services provided remains compliant, cost-effective, and reasonable.
If you have any questions regarding the fees or charges related to your bill, please contact our Patient Financial Services staff at (906) 341-3230.
Because of widespread variation in health insurance coverage, it is difficult for hospitals to provide patient-specific out-of-pocket cost information without access to very detailed information about a patient’s health insurance coverage.
What is a “Chargemaster?”
A chargemaster is a comprehensive list of charges for every inpatient and outpatient service provided by a hospital. In other words, it is the starting point from which the price that is ultimately paid is determined.
A chargemaster will document services, including but not limited to:
- Diagnostic testing
- Physical exams
- Surgical procedure
- Nonsurgical treatments
- Room charges
- Medication fees
Given the broad scope of services provided by hospitals 24/7, a chargemaster contains thousands of services and charges.
How Are Hospital Charges Determined?
An individual hospital’s charges vary based on its unique range of services, adoption of new medical technologies, government underfunding, patient demographics, and other local and regional factors.
Health insurance companies often contract with hospitals to care for their customers. Hospitals are typically paid contracted rates by insurance companies, which generally are less than the amount listed on the chargemaster. Therefore, chargemaster amounts are rarely billed to a patient or received as payment by a hospital.
How Is Patient Out-Of-Pocket Cost Information Shared with Patients and Families?
The chargemaster is not a useful tool for consumers who are comparison shopping between hospitals.
A hospital employs financial counselors, patient advocates, and other resources to help our patients understand their unique financial obligations. We encourage patients to reach out and ask detailed financial questions, especially before scheduled services. The hospital’s financial counselors can review options for charity care, payment plans, discounts, and more.
People should not try to determine specific out-of-pocket costs for a particular service based on a chargemaster. If a person has health insurance, they should first turn to their own insurance company for co-pay, coinsurance, and deductible information. If uninsured, they should contact the hospital’s financial counselors to discuss their personal treatment needs and get an estimated cost of care.
In situations where a patient does not have insurance, patients may be eligible for free or reduced-cost healthcare services through various state public assistance programs like the Healthy Michigan Plan, as well as the hospital financial assistance programs. Most hospitals have staff who specialize in helping patients apply for and enroll in Medicaid programs and the Healthy Michigan Plan. In situations where a patient does not have and is not eligible for any insurance, the Hospital has Patient Financial Assistance policies that apply discounts to the amounts charged.
Learn more about our Patient Financial Assistance policies.
Patients are encouraged to use out-of-pocket cost, quality, and patient safety information together to make an informed healthcare purchasing decision. Hospital-specific quality and patient safety information is publicly available at www.verifymicare.org.
Why Do Hospital Costs Vary by Patient?
Every patient’s case is unique and requires varying levels of care and specific caregivers, making no two patient experiences, even for the same services, the same.
The price a patient sees on their hospital bill reflects not just the specific care team who treated them, but also overall operational costs that keep the hospital running 24 hours a day, 365 days a year.
Each hospital’s cost and charge structure varies for a variety of reasons, including:
- Patient complexity
- Types of services offered
- Local labor cost
- Supply and equipment cost
- Buildings, utility, and maintenance costs
- Community service programs offered
- Other factors
Hospitals provide services to meet individual patient needs 24/7/365, provide free or discounted care to low-income patients, and are paid less than cost for services provided to patients covered by governmental insurance programs such as Medicare and Medicaid.
*Please note: The chargemaster is subject to change and may not reflect the current charge amount.
Contact Schoolcraft Memorial Hospital for more information:
Lisa DesJarden
Director of Revenue Cycle
Phone: (906) 341-1876
Email: ldesjarden@scmh.org
