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Yes, hospitals charge a ‘facility fee,’ but how much varies depending on several factors

There's a surprise fee you may get after a visit to the doctor or hospital. It's called a facility fee, but what is it used for? Can you dispute it?

COLUMBUS, Ohio — There's a surprise fee you may get after a visit to the doctor or hospital.
It's called a facility fee, but what is it used for? And can you dispute it?

Our VERIFY team takes a viewer's questions to our local hospital systems and a medical billing advocate.

THE QUESTION:

Viewer Anna Romine asked the 10TV verify team: is it true hospitals can charge a facility fee? She writes in part: "it seems excessive to charge clients a co-pay and then get a bill for 'facility fee'".

THE SOURCES:

  • OhioHealth
  • Ohio State University Wexner Medical Center
  • Ohio Hospital Association
  • Sue Null, a medical billing advocate.

THE ANSWER:

Yes, but not all patients will get this charge, and how much you get charged depends on several factors.

Here’s what we found:

According to the Ohio Hospital Association, "[f]acility fees are often included for services that are provided at hospital-owned health care facilities."

It's charged to help hospitals cover resources used such as hospital-employed staff, space, equipment and overhead.

At OhioHealth, for example, a spokesperson tells us the fee varies depending on the cost of care, level of care, location of care and complexity of treatment. It can range from $44 to $253 per patient. In 2020, the average charge was $122.

How much do hospitals pull in every year with this?

Here's a look at the last three years at OhioHealth. For perspective -- a spokesperson says the total in 2020 is less than a percent of the total revenue.

  • 2018-Approximately $2.8M
  • 2019-Approximately $3.3M
  • 2020-Approximately $3.3M

And here's a look at the last three years for OSU Wexner Medical Center, showing the total has dropped in the last three years.

  • FY2019: $26,033,434
  • FY2020: $20,790,853
  • FY2021: $18,450,338

Not every patient is charged this fee.

At Wexner Medical Center, for example, these fees are collected for clinic visits with hospital outpatient departments, where costs are incurred by the hospital instead of the physician practice.

A statement from a spokesperson reads in part, "OSU Physicians, Inc. is our practice plan that employs physicians and helps manage their practices. Because those patient visits remain practice-based, there isn't a facility fee."

So yes, we can verify it's true hospitals can charge a facility fee.

But what can you do about it?

Sue Null says the best place to start is by calling your insurance provider.

It's really a case-by-case basis, but make sure you get an explanation that makes sense to you.

She says you may also need to reach out to the provider directly.

Have something you'd like us to verify? Send us an email to verify@10TV.com.

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