Trends in hearing aid pricing and bundled services

Last week, I pinged my previous audi to get some insights on the future price of hearing aids as we sail into some “uncharted” water economically. He got right back to me and said that the wholesale price on his hearing aids were already up 15% as of LAST summer. That leads him to think prices will continue to rise if the cost of components going into hearing aids increases or supplies become constrained.

However! What I found even more interesting from his reply is three key trends in the audiological clinic industry that may affect both clinics and patient/customers:

1.) Hearing/balance clinics are increasingly being bought out by bigger (and then even BIGGER) health-related companies. My previous audi was talked into selling his private practice last year. Almost immediately, that buyer was then acquired by a bigger fish, Beltone. The goal is to achieve economies of scale, where the administrative costs (billing, customer support, etc.,) are centralized.

This is almost always a disaster for the patient/customer! We can’t get through to the clinic, make our own appointments, talk to any human being OR develop a long-term relationship with an audiologist and their staff. I’ve experienced that since switching to my new audi 3 years ago when I moved to a new area. My own situation was resolved by forming a relationship with my new audi over time to the point that she values my input, knows my issues and goals, and has given me her email addy at work to set up appointments without the “middleman”.

2.) Medicare is forcing customers/patients to select LOW-cost aids from 3rd party HA makers. My audi finds that his clinic is now on the receiving end of fine-tuning these aids to fit the customer/patient’s preferences. His clinic is paid pennies to the dollar by the third-party maker to do this time-consuming work, but we all know that the final settings, programs and follow-up visits are what make OR break the user’s experience with the hearing aid purchase. Unsaid is what will possibly happen with the continued interference with Medicare in general.

My guess is that there will be fewer benefits delivered over time for far greater cost to the members. In fact, the gov’t is already on a mission to shunt “standard” Medicare members into Medicare Advantage plans over time. Medicare Advantage is not so different from the insurance policies working folks (over)paid for until they retired! I’m pushing 70, and in my working years put tens of thousands $$ into my Medicare savings through payroll deductions. Now I stand to see a fraction of that coming back to me. I wish I’d been given the option to just save on my own instead of have the money deducted from my salary in order to amortize the cost of Medicare to ALL.

3.) He is seeing many more customers balk at the price of aids period. These folks would rather try their luck with the OTC products. No matter the audiogram or need for proper aids, there is a growing segment of the market willing to get suboptimal aids for cost savings.

For more insights on hearing aid trends, there’s a good summary at Forbes: How Much Do Hearing Aids Cost in 2025?

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Some clarifications: 1) Medicare does not cover hearing aids. Some Medicare Advantage plans do but coverage varies tremendously. 2) Although you may have paid tens of thousands of dollars into Medicare, a major hospitalization could run into the hundreds of thousands of dollars or more.

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GOOD POINT about the major hospitalization costs that Medicare covers. I got cranky thinking about how stingy health insurance coverage is for hearing aids vs other conditions: vision, dental, addictions, obesity, mental health, etc.

I have standard Medicare, and it pays $300 per aid every 3 years for new aids. Not sure what the Advantage coverage is tho. Before Medicare, I got zero coverage for hearing tests, aids, follow-on visits under Anthem. Same no-coverage for a replacement plan after Anthem non-renewed my husband and I as they’d left the state I was living in.

Are you sure it isn’t a Medicare supplemental plan that pays the $300? Medicare Advantage plans have to cover certain things (not hearing aids) but many plans offer some hearing aid coverage (often more like a discounted buying plan that limits who you can buy from and offers an often not very good discount.)

I realize this thread focuses on the US situation… In France there are just a few major chains of audioprothesists- with highly competitive prices (that they advertise with!). Thus, consolidation of that market has not been so bad. Prices in Switzerland are about 2-3 higher. Each country has its own reimbursement policies- which is a somewhat different discussion.

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