When a doctor (whether family doctor / general physician, consultant or surgeon) prescribes tests – pathology, radiology, X-rays, MRIs etc. – the lab doing those tests gives commissions. How much? That depends your city and your neighbourhood. (For instance, In South and Central Mumbai — 40%; in suburbs north of Bandra — a whopping 60 per cent).
Doctors earn a lot more in this way than by way of consulting fees that you pay them.
When your friendly GP refers you to a specialist or surgeon, it's not necessarily because your ailment calls for it. It may simply be because he gets 30-40% from the first-time consulting fee that you pay the specialist -- which is typically higher than the usual fee.
If the GP or consultant recommends hospitalization, he will receive kickback from the private nursing home as a percentage of all charges including ICU, bed, nursing care, surgery etc.
Shocked? Don't be. Private medical practice, and indeed, all private sector is full of malpractices and corruption.
For more about how your doctors rip you off, readhttp://tinyurl.com/doctor-kickbacks