The Silent Squeeze on Patients: How Vertical Integration is Driving Up Healthcare Costs Anne Hug's experience is a disturbing example of how hospital systems can quietly funnel patients into more expensive treatment options.
Despite the American College of Obstetricians and Gynecologists recommending that her routine procedure could be done in a doctor's office with local numbing, she was forced to undergo it in a freestanding surgery center owned by her hospital system.
This is a classic example of vertical integration, where one company owns or controls multiple parts of the supply chain and can direct patients to more expensive treatment options.