Administrative costs for private insurance average about _____% of claims paid,while the administrative costs of Medicare average about _____ of claims paid.

Question

Quizplus · Accepted Answer

Administrative costs for private insurance are significantly higher than those for Medicare. On average, private insurance administrative costs are about 15% of claims paid, whereas Medicare's administrative costs are much lower, around 1.5% of claims paid. This reflects the efficiency and lower overhead of the Medicare system compared to private insurance.

Administrative Costs for Private Insurance Average About _____% of Claims