The answer is almost certainly large scale fraud by organized criminal groups, but investigating and publicizing this is, currently, extremely politically inconvenient.
Went to clinic for fractured arm. Was given a sling, told it was included with the visit, verbally by the staff.
Later get a bill for nearly $500 for the sling that costs $50 if you get it outside of the clinic. Was told they think they accidentally billed me the insurance price. I can understand "convenience" being baked into the price but not at a 10x markup. The more I talked with the clinic trying to get them to fix it, the more it sounded like they had a partnership with the stupid sling company where they put slings on people and bill the insurance 10x the cost of the sling.
How do you know that it's enough? Baby boomers are old now, which means demand for healthcare has skyrocketed. There's an odd thing I've noticed in political commentary where nobody really thinks that healthcare is expensive, but it absolutely costs a ton to keep people alive. America might have problems with too much overhead, but even here in Ontario, healthcare is by far the province's biggest expense.
Because that is 17% above the US average, at an average of $13k per year per patient. This is _after_ medicare handles the bulk of the cost. I'm not disagreeing that healthcare is expensive, just the costs are excessive.
Taxpayers are getting milked by providers and insurance. I was given an arm sling that cost almost $500. If I got it outside of the clinic it would have been $50.