AI boosts healthcare costs $942M in 2 years
hospitals' ai use led to $942 million extra healthcare spending over 2 years, insurers claim. this may worsen battles between hospitals and insurers.
the blue cross blue shield association analysis found that hospitals' use of artificial intelligence tools for insurance claims led to an additional $942 million in healthcare spending over a two-year period. the analysis revealed a sharp increase in patients being documented as having complex conditions, but argued there is a clear disconnect between medical coding and treatment. insurers claim this may worsen battles between hospitals and insurers, with ai use on both sides potentially leading to increased healthcare costs. dr. shiv rao, founder of ai startup abridge, suggested ai might also reduce tensions and cut costs. the situation has sparked concerns about the impact of ai on healthcare costs.