Thanks to minimally invasive technology, more and more surgeries can be safely performed in outpatient settings such as same-day surgery centers. Not only are these smaller facilities known for efficiency, but patients can go under the knife at a fraction of the cost compared to the same procedure being performed in a hospital affiliated outpatient department. Just look at the cost differentials for a cataract removal or ACL reconstruction below: Screen Shot 2015-09-21 at 11.35.06 AM

Insurance companies like UnitedHealthcare are embracing the many benefits of these “focused factories”. As a cost containment measure, the carrier is encouraging more outpatient procedures to be performed in an ambulatory surgery center. Starting October 1, prior authorization will be required for surgery to take place in a hospital outpatient department. You can read more of the details here.