I have been saying for years that one of the biggest problems in healthcare system is administrators. They have been multiplying faster than tribbles. Hence the name administribbles. There has been at least a 3000% increase of them over the past 40 years since it was last studied in 2012. Now comes this in the NY Times:
The base pay of insurance executives, hospital executives and even hospital administrators often far outstrips doctors’ salaries, according to an analysis performed for The New York Times by Compdata Surveys: $584,000 on average for an insurance chief executive officer, $386,000 for a hospital C.E.O. and $237,000 for a hospital administrator, compared with $306,000 for a surgeon and $185,000 for a general doctor.
Yup, there are more of them and they get paid a lot more than doctors. Here is the best part. “Studies suggest that administrative costs make up 20 to 30 percent of the United States health care bill”! Family doc salaries make up around 2%. Remember, administrators don’t make money for the system. They don’t treat patients. They don’t produce a widget and then sell it. Instead they make money off the backs of doctors who have to see more and more patients just to keep pace. It’s sickening.Tweet