I do not think there is one specific cause why healthcare is so expensive in America. Litigation is certainly one explanation. In America you go in complaining about an ingrowing toe nail, and before you know it you have undergone umpteen blond tests and scan just to make sure that it is not some bizarre cancer.
There is certainly profiteering from hospitals. I remember a few years ago a patient needed an oxygen concentrator for a few months and was being charged close to a thousand dollars a month. The patient then shopped around and found a medical equipment hire company that would hire one out for under a hundred dollars a month.
And less we forget that pharmaceutical companies can advertise prescription medication directly to the public, as anyone who has had the misfortune of watching American TV whilst travelling in America, can attest to. Frankly, I did not know whether to laugh or cry at those ads: Laugh at just how utterly surreal the ads were or cry at the thought of all those American hypochondriacs rushing out to speak to their doctor and demanding the latest prescription drugs to be prescribed to them, regardless of benefit.
But then again, I daresay the NHS has its quirks and can give you that cosy surreal feeling from time to time.