Why is it hearing aids cost so much?

[djchur]

You can't compare with Ipod because market demand is much much much greater than hearing aids, which makes it easier to get ROI than hearing aids.

If the millions of hearing people using Ipods keep using them at high volume, they will all develop hearing problems, and need HAs. Maybe that will bring the price of HAs down for everyone else!

Seriously though, I think it's disgusting that your government and insurance companies won't provide finance for HAs. These are not cosmetic devices!

 

[xsuperchick]

Hearing isn't a luxury; It's a sense that's absolutely vital in every day life. Yet for some reason the cost of a hearing aid runs about the same as a car. It's outrageous. If a cell phone that allows me to communicate with someone in fucking china for under $100 then there's absolutely no reason a hearing aid should cost thousands. I've been hearing impaired my entire life and I feel like my hearing is deteriorating and it seems harder to maintain stability with each passing day.

I know! here in Peru is the same... but I guess for you guys isn't that much...

 

[CrazyOne]

I realize that everyone wants something cheap.

Let me ask you a simple question. Do you believe that people who work in the hearing instrument industry should work for free or should they be able to make a living for their families? There is one source of cost.

Next thing is it costs an incredible amount of money to develop a new medical device. A product needs to get regulatory approvals (e.g. following ISO-EN13485 in Europe and FDA in the USA) before it can be sold. In the USA, to protect consumers, manufacturers have to prove efficacy and safety. Hearing Instruments are considered medical devices and as all medical devices and non OTC drugs in the USA have to be given based upon prescription.

Bringing a new hearing instrument (from scratch not an iteration of an existing product) costs in the range of $100M to $150M. Investors can either invest this money into these companies (i.e. YOUR 401(k) plan may invest in these companies and you expect a return on the money you put into your 401(k)). Since they are risky investments (many companies are denied approvals) people investing expect a better ROI than the typical 8% they can get in the general stock market unless it is an established company, but then think that the $100M-$150M needs to produce and annualize 8% ROI fir an established company.

Next, the chip sets inside of HI are custom. You cant spread the cost of a chip set out over TVs, Radios, Ipods, ect. Many audio chip sets for consumer goods all use the same chip. HI all have custom chips. This costs a lot of money. How many iPods do you know of that run at least 16 channels of audio processing with expansion and compression?

In general, the high end HI have the most advanced portable audio processing and you pay for it. Some of the HI manufactures are trying to branch out into the consumer market with their technologies to spread development costs. Here is an example [ame=http://www.amazon.com/Phonak-Audeo-Perfect-Fit-Headphones-Brand/dp/B001LTZA7C]Amazon.com: Phonak Audeo Perfect Fit Pfe Headphones..Brand New: Electronics[/ame]

Notice, that even though it is a consumer product, it still isn’t the same as $10 Best Buy headphones. Is there likely a sound/quality difference?

-C1

 

[sr171soars]

I realize that everyone wants something cheap.

Let me ask you a simple question. Do you believe that people who work in the hearing instrument industry should work for free or should they be able to make a living for their families? There is one source of cost.

Next thing is it costs an incredible amount of money to develop a new medical device. A product needs to get regulatory approvals (e.g. following ISO-EN13485 in Europe and FDA in the USA) before it can be sold. In the USA, to protect consumers, manufacturers have to prove efficacy and safety. Hearing Instruments are considered medical devices and as all medical devices and non OTC drugs in the USA have to be given based upon prescription.

Bringing a new hearing instrument (from scratch not an iteration of an existing product) costs in the range of $100M to $150M. Investors can either invest this money into these companies (i.e. YOUR 401(k) plan may invest in these companies and you expect a return on the money you put into your 401(k)). Since they are risky investments (many companies are denied approvals) people investing expect a better ROI than the typical 8% they can get in the general stock market unless it is an established company, but then think that the $100M-$150M needs to produce and annualize 8% ROI fir an established company.

Next, the chip sets inside of HI are custom. You cant spread the cost of a chip set out over TVs, Radios, Ipods, ect. Many audio chip sets for consumer goods all use the same chip. HI all have custom chips. This costs a lot of money. How many iPods do you know of that run at least 16 channels of audio processing with expansion and compression?

In general, the high end HI have the most advanced portable audio processing and you pay for it. Some of the HI manufactures are trying to branch out into the consumer market with their technologies to spread development costs. Here is an example Amazon.com: Phonak Audeo Perfect Fit Pfe Headphones..Brand New: Electronics

Notice, that even though it is a consumer product, it still isn’t the same as $10 Best Buy headphones. Is there likely a sound/quality difference?

-C1

What you said is essentially true.

However, my beef with this argument is very simple. While making all of these nice and fancy models, come up with a couple of "cheap" simple "no frills" types. This would allow those who can't afford the more expensive ones to have some options. As we all know, insurance companies haven't been too cooperative in covering HAs.

Not everybody needs nor wants the latest and greatest in features. Just to be able to hear would be nice! In my HA days, I would have been happy with a $1000 model and forgo the $2500 model.