![]() This issue can also affect workers compensation insurance and auto insurance as air ambulance flights can often be required in workplace or auto accident situations which can then lead to billing confusion. This can lead to a practice known as balance billing where a provider bills the patient directly for any amount not covered by insurance. Additionally, although Medicare, Medicaid, and most private insurers provide some coverage for air ambulance services, reimbursement rates are often far lower than what air ambulance providers bill. This leaves patients in some areas with no in-network choices for life-saving care while out-of-network air ambulance providers can leave patients with enormous bills. Over the past decade, many states have reported issues with air ambulance providers not affiliated with any hospital or insurance carrier. In contrast, traditional ground ambulance services are regulated under the ACA as well as any applicable state laws. Therefore, state laws passed to regulate the costs of air ambulance services are preempted by the ADA. These high costs can be attributed to maintenance of expensive equipment as well as the need to staff specialized medical personnel around-the-clock.īackground: The Airline Deregulation Act of 1978 (ADA), was intended to encourage competition in the airline industry, prohibits states from regulating the prices air carriers charge. It's estimated that the median cost of air ambulance services is between $36,000 and $40,000. There are also concerns that such high growth in this industry may be an indicator of medically unnecessary use. Possible reasons for the growth of this industry include an aging population, a decline in the number of emergency departments in existing hospitals, and changes in the delivery of healthcare in rural settings. Air ambulance services have grown significantly in recent decades in 2002 there were approximately 400 dedicated air ambulances, but by 2008 the number had more than doubled to over 800. According to the Association of Air Medical Services, more than 550,000 patients in the U.S. Air ambulances are usually helicopters equipped with medical equipment and staffed by medical professionals just like traditional ground ambulances. Issue: Air ambulances are used to quickly transport patients in life-threatening situations.
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