Why are hospitals able to charge different purchasers different prices for the same medical services?

Hospitals can charge different purchasers varying prices for the same medical services due to several factors, including negotiated contracts with insurance companies, the lack of standardized pricing in healthcare, and the varying financial capabilities of different payers. Insurance companies often negotiate rates based on the volume of patients they bring to the hospital and their bargaining power. Additionally, self-pay patients may face higher prices since they do not have the leverage that insurers do. This complex pricing structure reflects the broader dynamics of the healthcare market.