@bajjerfan Yes, if you check on the Medicare site, you can see the "full" claim charge and then what Medicare pays which is a much smaller amount. Private insurers do pay more for the same service but still much lower than the "retail" billed amount. It is up to Congress to increase what Medicare can pay. One thing to note, is that the charge by healthcare provider is extremely high. I have read that nobody knows why providers charge the exaggerated amount, just our system. Medicare however offers the provider access to a high number of patients which increases their revenue. In marketing, a product is given a price to promote highest volume in sales, because that produces a higher total profit for the company - higher unit price does not mean higher total profit for the company.
Before Medicare, many Seniors could not afford/find health insurance and just died. Private insurers may pay more but they are well known for requiring approval for a procedure and delaying things. And a research institution like Mayo needs patients with interesting issues. There is a reason to be "not for profit"