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Hospital Price Transparency Data Reveal Up to 8-Fold Geographic Variation in Commercial Rates for IR Procedures

Golshani, P.; Joseph, M. S.

2026-05-13 health economics
10.64898/2026.05.09.26352821 medRxiv
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ObjectiveTo characterize the magnitude and geographic distribution of commercially negotiated hospital facility rates for fourteen common interventional radiology (IR) procedures using publicly posted Hospital Price Transparency Machine-Readable Files (MRFs), and to describe the relationships between state-level commercial pricing, population rurality, and within-system rate uniformity. MethodsIn this cross-sectional observational analysis, we examined hospital-weighted commercial rate observations from U.S. hospital MRFs for fourteen IR procedures spanning image-guided drainage, embolization, peripheral vascular intervention, dialysis access maintenance, and percutaneous spine. The unit of analysis was one observation per distinct negotiated rate per state-CPT cell, deduplicating multi-facility same-system reporting in which two or more hospitals posted identical rate, range, and payer-count tuples. Outliers were excluded using transparent absolute and CMS-relative bounds. State-level statistics were computed where [≥]5 distinct hospital-system observations were reported. Commercial rates were compared to CY 2026 CMS Outpatient Prospective Payment System (OPPS) facility payments. Relationships between state-level commercial rate and 2020 U.S. Census percent-rural population were assessed by Spearman rank correlation. ResultsAcross 14 procedures, state-level commercial median rates varied 3.7-to 8.3-fold between the highest- and lowest-priced states. The largest spreads were observed for fem-pop angioplasty (CPT 37224, 8.3-fold), fem-pop atherectomy (37225, 8.1-fold), and iliac stenting (37221, 7.1-fold). National median commercial rates ranged from 1.34x (PAE/GAE) to 3.60x (paracentesis) the corresponding CMS OPPS facility payment. Across all 14 procedures, the relationship between state percent-rural and median commercial rate was negative (mean Spearman {rho} = -0.46, range -0.33 to -0.80; 14 of 14 codes negative), with the most-rural quartile of states showing a median commercial rate 42% below the most-urban quartile. Deduplication identified 660 multi-facility groups in which a single negotiated rate was applied across two or more affiliated hospitals within a state. DiscussionSubstantial state-level variation in commercially negotiated facility rates exists for common IR procedures, with consistently lower rates in more rural states. Within-system rate uniformity is a frequent feature: many regional health systems post identical commercial rates across multiple owned facilities. The findings are consistent with prior literature linking commercial pricing to market structure and support continued investment in price transparency as a precondition for informed decision-making.

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