JEFFERSON CITY Health care is a lucrative business for hospitals, doctors and insurance providers. Why not patients?

That would be one result of a set of bills proposed by Rep. Keith Frederick, R-Rolla, that would make Missouri one of a handful of "right to shop" states in the country.

"Right to shop" laws aim to incentivize patients to find cheaper health care. Patients could compare costs and select a cheaper provider, and insurance companies would be required to split the difference between the initial estimate and the cheaper alternative with the patient.

"This bill would require that insurance companies share the savings with the citizens," Frederick said.

To use an example given by Frederick during the hearing, if an insurance company planned to shell out $2,000 to a patient and the patient found a doctor who would perform the procedure for $1,000, the insurance company would cut a check for $500 to the patient.

Frederick proposed two similar bills, one focused on current and retired state employees, the other focused on all other Missouri residents.

Patients would be able to find information on cost estimates for procedures by going to the insurance providers website because the bill requires the companies to maintain payment information publicly.

Insurance companies would have to pay patients regardless of whether the service provider was in their network.

Frederick said he first heard of a similar proposal from the Foundation for Government Accountability, a think tank based in Florida, while attending a conference in Chicago.

"Ive been a big fan of transparency,because Ive observed over the years that patients have a hard time finding out what the cost of a health-care service is before they consume it," he said.

"Its kind of like going to the car dealership and he tells you, 'Buy it, take it home, park it in your garage, and next week well tell you how much you spent.'"

One lobbyist, Jim Gwinner, spoke in favor of the proposals, but a number of lobbyists representing hospital and insurance organizations spoke out strongly against the measures.

Shannon Cooper, a lobbyist with the Missouri Insurance Coalition, said "right to shop" laws would incentivize cheaper health care too much, leading to lower-quality standards.

"When there is a cash incentive out there, some people will be driven to the lowest-cost provider. They wont take into consideration a positive outcome," he said. "Theyll just think 'Hey, I might get a check if I go down the street and let somebody do the procedure on me that I dont know and Ive never heard of.'"

Frederick was undeterred.

"I would just ask the committeenot (at the hearing)," he said. "People that are not here are patients, your constituents, consumers of health care. They dont have lobbyists."

Supervising editor is Mark Horvit.

Read more:

"Right to shop" bill looks to incentivize cheaper health care - Columbia Missourian