Healthcare Staffing Report: Apr. 17, 2014

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Survey says third of healthcare costs result from ‘defensive medicine’

U.S. hospital administrators estimate one-third of healthcare costs are the result of tests and treatments that aren’t medically necessary and ordered to prevent lawsuits, according to a new survey by Atlanta-based Jackson Healthcare, the third-largest U.S. healthcare staffing firm.

The survey also found 94 percent of hospital administrators affirmed that defensive medicine drives up the cost of U.S. healthcare, and survey participants estimated 57 percent of physicians engage in defensive medicine.

“We have been studying the reach and impact of defensive medicine for five years and the conclusions are consistent,” said Jackson Healthcare Chairman and CEO Richard Jackson. “The data show defensive medicine is impacting healthcare costs and is a uniquely American problem.”

A total of 106 hospital executives completed the Jackson survey between Jan. 7 and March 25. To qualify, participants answered that they believe some physicians practice defensive medicine.