Report Reveals Hospitals Huge Markups for IV Saline
A new report is raising fresh questions about transparency in medical billing after exposing the true price of IV saline—and the extreme markups hospitals often charge. A basic saline bag costs about one dollar to manufacture, yet the hospital saline markup can push patient bills into the hundreds.
What Sparked the Investigation
The findings emerged during an investigation into a 2012 food poisoning outbreak in upstate New York. Patients received the same saline from the same distributor. However, their hospital bills varied by hundreds of dollars, even within the same facility. These differences quickly pointed to deeper problems in the pricing system.
Real Examples of the Markups
The investigation revealed several striking examples:
- An elderly woman received a bill for $787.
- Her grandson, treated for a nearly identical issue, was billed $393.
- A privately insured patient was charged $91 for a single saline bag that cost the hospital less than a dollar.
- Another patient paid $8, while her insurer received a bill for more than $540 for multiple liters.
These comparisons highlight how unpredictable and inconsistent the charges can be.
Why the Markups Happen
Analysts point to the complex supply chain as the main driver. Hospitals rarely negotiate directly with manufacturers. Instead, they depend on large purchasing groups and distributors who set the final price. This multilayered system creates inconsistent costs and steep fees that patients seldom see explained on their statements.
Attempts to get clear answers from hospitals and state officials have stalled. The documents detailing how each charge is calculated remain unavailable. Without that information, the push for transparency continues.
What It Means for Patients
The hospital saline markup report shows how even the simplest medical item can turn into a major expense. It also raises a larger question: how often do hidden markups appear in everyday medical bills?