Tag: Healthcare costs

Moody’s downgrades health insurance outlook as medical costs surge

Editor's Note Moody’s Ratings has shifted the health insurance industry’s credit outlook from stable to negative, according to a February 3 article in Fierce Healthcare. According to the article, the downgrade is due to escalating medical costs that outpace reimbursement rates. Analysts project an 8% rise in commercial market spending…

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By: Matt Danford
February 5, 2025
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Legislation proposes to halt Medicare physician payment cuts

Editor's Note A January 31 statement from the American Medical Association (AMA) announces the organization’s support for bipartisan legislation aiming to reverse steep Medicare reimbursement reductions threatening physician practices and patient care access. Introduced by a coalition of 10 House members, the "Medicare Patient Access and Practice Stabilization Act" would…

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By: Matt Danford
February 4, 2025
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Cigna ties executive pay to patient experience

Editor's Note As part of a larger initiative to ease access to care, insurance giant Cigna is tying compensation for senior leadership directly to customer satisfaction. Modern Healthcare reported the news February 3. The shift is part of a multi-pronged approach that also includes overhauling prior authorization requirements and limiting…

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By: Matt Danford
February 4, 2025
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Commentary: Studies show how surgeon decisions follow the money

Editor's Note Financial incentives can shape surgeons’ decision-making, but their effectiveness depends on the structure of the payment model. This is the central message of a January 26 article in Forbes reporting on two studies: one linking a sharp increase in hernia cases to a simple Medicare coding change, and…

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By: Matt Danford
January 30, 2025
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Proposed tariffs threaten medical device supply chain

Editor's Note Analysts say proposed tariffs on imported goods could increase costs for approximately 75% of medical devices marketed in the United States, 69% of which are manufactured solely abroad, according to a January 20 article in Medical Product Outsourcing. Valued at $197.8 billion in 2023, the US medical device…

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By: Matt Danford
January 23, 2025
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EHR-integrated clinical decision support reduces unnecessary preoperative tests

Editor's Note An EHR-integrated closed-loop clinical decision support system (CDSS) significantly reduced unnecessary preoperative testing, improved patient safety, and significantly reduced costs across two hospitals in Madrid, Spain. As detailed in a study published January 3 in npj digital medicine, this system demonstrates the potential of automated guidelines to optimize…

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By: Matt Danford
January 23, 2025
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Hospital M&A trends report reveals financial distress, market reorganization

Editor's Note The US hospital industry continues to face significant financial and structural challenges despite signs of stabilization in 2024, according to a January 9 report from Kaufman Hall. Despite improved operating margins and stable credit outlooks from major rating agencies, a surge in transactions involving financially distressed organizations and…

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By: Matt Danford
January 10, 2025
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Study: Patient care experience declined after private equity hospital acquisitions

JAMA (healthcare publication) Network logo

Editor's Note Patients fared worse in the wake of private equity acquisitions of US hospitals, according to research published January 9 in JAMA Network.  Over a decade-long analysis of 73 acquired hospitals and 293 matched controls, declines became more pronounced in the years following acquisition, researchers wrote. Key findings include:…

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By: Matt Danford
January 10, 2025
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Prosthetic insurance coverage disparities persist despite legal protections

Editor's Note Health insurance coverage of prosthetics remains inconsistent and often inadequate, KFF Health News reported January 6. As a result, many patients face coverage denials due to claims of lack of medical necessity or high costs despite significant advancements in prosthetic technology, such as microprocessor-controlled knees and myoelectric hands.…

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By: Matt Danford
January 9, 2025
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Proposed tariffs, stricter immigration policies threaten healthcare workforce, supply chain

Editor's Note Immigration and trade policies proposed by President-elect Donald Trump could exacerbate challenges with healthcare staff and medical supply chains, according to recent reporting from Modern Healthcare and The Hill. As detailed by Modern Healthcare, stricter immigration policies could impede efforts to recruit skilled international workers, exacerbating gaps in…

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By: Matt Danford
January 2, 2025
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