Who is most efficient in health care? Study finds, surprisingly, it's the VA [View all]

Private-sector hospitals, clinics, and insurers are bloated, bureaucratic nightmares compared to efficiently run Veterans Health Administration facilities that put care over profits, a new study reveals.

The study, by researchers at Hunter College of the City University of New York, Harvard Medical School, the Veterans Health Administration, and the University of Washington, points fingers at profit-driven private facilities and insurers, where a whopping 30% of staff are stuck in the tangled web of paperwork, while the VHA shines with a lean 22.5% administrative staff. That means nearly 900,000 fewer paper pushers would be needed if private hospitals, clinics, and insurers took a page from the VHA's playbook.

The research is published in the journal JAMA Network Open.

Most of the bloat comes because profit-seeking insurers try to avoid paying for care by imposing complex rules and documentation requirements.