Some of the hottest health care headlines for SmartBrief readers in August centered on staffing shortages, mixed financial trends for US hospitals and rising marketplace insurance premiums – challenging and concerning topics for patients and professionals. Reader interest also turned to stories on staff roster shakeups at the CDC, including the departure of the agency’s new head after a very short tenure.
Physicians on staffing woes
What happened: An Axios report on the results of a Medscape survey showed how concerned US physicians are about the shortage of qualified practitioners in their area, particularly in primary care. Nearly two-thirds of respondents said pools of qualified applicants in their region were inadequate, and most didn’t feel any near-term improvement was likely. Some participants also noted that medical school applications are not keeping pace with demand in the field. However, only 16% of respondents said their practices or employers were refusing new patients as a result of the shortages.
What’s next: Making it easier for foreign-trained physicians to live and practice in the US could offer a solution, some experts said. An earlier NPR report noted that some states are easing residency requirements for physicians from other countries, and a Radiology Business analysis described congressional efforts to pass the Healthcare Workforce Resilience Act, which would allow unused immigrant visas to be applied to physicians from other nations.
Mixed messages on hospital finances
What happened: Data from Kaufman Hall, part of a MedCity News analysis, showed that US hospitals’ financial performance edged upward in the second quarter of this year, with margins rising from 1.9% in May to 3.7% in June. Revenue per patient and outpatient revenue were trending positively, suggesting more effective use of outpatient facilities. Still, there was an increase in bad debt and nonlabor expenses, researchers found. “Without a sustained focus on efficiency and revenue capture, weaker organizations could become even more unstable,” authors reported.
What’s next: An early September report suggested that Medicaid cuts under recent federal legislation could result in $25 billion in net revenue losses for US hospitals. Individual facilities could see up to $4 million in such losses per year due to Medicaid disenrollment, and hospitals’ average net income could fall by more than 70% as patients transfer to self-pay status, the analysis said.
Pointers on premium increases
What happened: Patients can expect Affordable Care Act marketplace insurance premiums to take a significant hike next year, according to a report from The Hill. There is likely to be a median premium increase of 18%, compared with last year’s proposed 7%, the analysis said, and noted that it’s the largest rate change insurance firms have requested in the past seven years. Companies said the hike is needed to cover rising patient care and drug costs. Fallout from tariffs on imported products and the potential expiration of enhanced premium tax credits could play a role as well.
What’s next: Some states have tried to counteract higher premiums. Arkansas Gov. Sarah Huckabee Sanders asked the state insurance commissioner to reject proposed hikes from two insurers, and Delaware Gov. Matt Meyer is heading an 18-state coalition asking Congress to extend the enhanced premium tax credits, which are set to expire at the end of this year if there is no further legislative action.
Spotlight on agency staff
What happened: It’s been a year of staff upheaval and heated debate for agencies, including the CDC, with Director Susan Monarez suddenly exiting in August after less than a month at the helm. Other high-level agency officials have stepped down as well. A White House spokesman said Monarez was terminated for failing to adhere to President Donald Trump’s agenda and then refusing to resign.
What’s next: The CDC’s current acting director is Jim O’Neill, who formerly served as HHS deputy secretary. He said in an ABC News analysis that the agency is “working hard to refocus and earn [the public’s] trust back.”