AUSTIN, Texas (Jan. 22, 2026) – Today, two Congressional committees scrutinized the cost of healthcare, with major commercial health insurers testifying about cost drivers and access challenges. In Texas, hospitals believe insurers should cover the cost of care, not pass that cost along to patients.
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“Hospitals provide care. Insurers avoid paying for it,” said THA President/CEO John Hawkins. “Health insurance companies have long worked to find ways to avoid paying for care: skinny insurance policies, automatic denials, slow payments and a slew of legislative tactics designed to weaken the healthcare industry and boost insurance company profits.”
“Hospitals agree that the price of healthcare is too high. But there is no single scapegoat. It involves a complex mix of actors,” Hawkins said. “True healthcare reform looks at all cost drivers and all players. The biggest influencers of cost include labor, pharmaceuticals, supplies and equipment, including inflationary considerations. We are grateful for the scrutiny of insurance companies and happy to answer questions when it’s our turn.”
THA points out critical differences between two of the industries responsible for healthcare costs.
Health insurance companies regularly:
- Delay payment, deny claims and disrupt care for patients;
- Are cited for questionable tactics to avoid paying for care; and
- Get paid per member, per month, even if they provide no services.
Meanwhile, hospitals:
- Care for the uninsured;
- Save lives;
- Must offer 24/7 emergency care;
- Are critical state infrastructure;
- Must adhere to rigorous regulations;
- Are economic engines in local communities; and
- Are critical emergency responders and trauma providers.
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About THA
Founded in 1930, the Texas Hospital Association is the leadership organization and principal advocate for the state’s hospitals and healthcare systems. Based in Austin, THA enhances its members’ abilities to improve accessibility, quality and cost-effectiveness of healthcare for all Texans. One of the largest hospital associations in the country, THA represents more than 85% of the state’s acute-care hospitals and healthcare systems, which employ some 400,000 healthcare professionals statewide. Learn more about THA at www.tha.org or follow THA on Twitter at http://twitter.com/texashospitals.