How Much Does the NICU Cost Per Day?

You’d spare no expense for your little one. But for many parents, NICU costs go far beyond their financial possibilities. In 2023, NICU costs average anywhere from $3,000 to $20,000 per day. Why is the NICU cost per day so high? How can parents possibly foot the bill? Keep reading to find out.

What Factors Influence NICU Cost Per Day?

Over 300,000 babies require care in Neonatal Intensive Care Units (NICUs) each year. The cost of NICU care per day varies based on several factors. These include:

• The level of care the baby needs
• The region
• The specific hospital

There are various levels of care in the NICU. Here’s how the cost varies by level:

• Level II (Special Care Nursery): Typically ranges from $3,000 to $5,000 per day.
• Level III (Neonatal Intensive Care): Can range from $5,000 to $10,000 per day.

Level IV (Highly Specialized Intensive Care): Costs can exceed $10,000 per day. Some sources say the most intensive care can cost $20,000 per day. 

Why is the NICU Cost Per Day So High?

Why are NICU costs so high? It’s because NICUs have specialized medical equipment to monitor and support premature and critically ill newborns. This includes:

• Incubators
• Ventilators
• Infusion pumps
• Other life-support systems. 

Imagine trying to fix your vehicle, but it’s shrunk to the size of a tiny toy car. NICU care often involves complex medical procedures, surgeries, and treatments– all performed on pint-sized patients. 

So, the NICU employs a team of highly trained professionals, including neonatologists, nurses, respiratory therapists, and other specialists. Their high salaries match their high level of expertise. 

Also, NICU facilities operate 24/7. Continuous monitoring and care raise costs. 

Newborns also need specialized medications and consumable medical supplies. They can’t eat the same food as regular patients in the hospital, or use the same equipment. So the cost of nutritional supplements, sterile dressings, catheters, and tubing is significant. 

In addition, the infrastructure required to support a NICU adds to overhead costs. The environment has to be sterile, and there should be backup power because many newborns rely on machines and equipment to survive. 

NICU Costs Have Increased 

According to the Health Care Cost Institute, the total cost of general newborn/nursery care was about $4,000 in 2021. In the NICU, total care costs were $20,000 on average. But those who required the highest level of care had to pay about $128,000 on average. 

The HCCI also reported that between 2017 and 2021, NICU cost per day increased for all levels of care. 26% for NICU Level II and IV, the cost increased by 26%. For the Level III admissions NICU costs increased by 17%.

But in 2023, NICU costs continue to rise. The AMA Journal of Ethics reports that the total cost of longer stays in the NICU can top $1 million. 

Paying for NICU Costs

NICU costs are skyrocketing. It can be difficult to find ways to pay for NICU care. But help is available! You might consider the following avenues:

1. Health Insurance. Some policies cover a significant portion of NICU costs. But it’s important to check your policy and know what it covers. 

2. Government Programs. For families that qualify, Medicaid can cover many NICU costs. Eligibility varies by state, but it often covers low-income families​

3. Children’s Health Insurance Program (CHIP): Similar to Medicaid, CHIP can provide coverage for children in families with incomes too high to qualify for Medicaid but too low to afford private insurance

4. Hospital Financial Assistance Programs. You can contact your hospital’s billing department to ask if they offer financial assistance or charity care programs to help you manage the costs. Also, you may have the option of paying your bills over time instead of all at once. 

5. Assistance from Nonprofit Organizations. Various organizations provide grants and financial assistance to help families shoulder NICU costs. Examples include the March of Dimes and the Ronald McDonald House Charities​.

6. Crowdfunding. Platforms like GoFundMe allow families to raise funds for medical expenses by sharing their stories with a broad audience​.

7. Legal Action in Case of Malpractice. If the hospital’s negligence caused your newborn’s illness or injury, consider pursuing a medical malpractice lawsuit. A settlement or court award can help cover NICU costs. 

Are you considering taking legal action against a hospital or doctor? Consulting a lawyer is the first step you should take. Look for a lawyer who specializes in birth injuries. You’ll want one who charges on a contingency fee basis. That means you won’t have to pay anything unless they win your case.