People used to have choice but now due to 1950s tax code, your employer chooses a health conglomerate which chooses an insurance company which influences the billing allowances which influences the hospital profitability which is now so complicated that often only PE firms are willing to take the investment risk.
The incentives and market feedback is now so distorted that there is little to no signal. Healthcare in the US is often used as an example of failed free markets, but it is very far from a free market.
American lifestyles especially in certain states are generally not conducive to good outcomes but the US healthcare system itself is still generally world-renowned for cutting edge procedures.
Analyzing from a cost POV it's quite bad, but in many ways healthcare is the ultimate marginal good so people are willing to spend what they have.