New 11-Country Health Care Survey: U.S. Adults Skip Care Due To Costs, Struggle Financially, And Have The Worst Health

http://www.commonwealthfund.org/publications/press-releases/2016/nov/international-survey-release

A new 11-country survey from The Commonwealth Fund finds that adults in the United States are far more likely than those in 10 other high-income nations to go without needed health care because of costs and to struggle to afford basic necessities such as housing and healthy food. The survey findings, published today as a Health Affairs Web First article, also indicate that Americans are sicker than people in other countries and experience high levels of emotional distress.

Despite a significant decline from 2013, about one-third (33%) of U.S. adults went without recommended care, did not see a doctor when sick, or failed to fill prescriptions because of cost. By comparison, as few as 7 percent in the U.K. and Germany and 8 percent in the Netherlands and Sweden experienced these cost problems. The U.S. also stands out for its exceptionally high rate of material hardship. Fifteen percent of U.S. adults reported worrying about having enough money for nutritious food and 16 percent reported struggling to afford their rent or mortgage.

Adults in the U.S. were also the most likely to be in poor health. More than a quarter (28%) of U.S. respondents reported having multiple chronic illnesses—by far the highest rate of any country surveyed—and a similar proportion (26%) said they experienced emotional distress in the past year that was difficult to cope with on their own. Respondents in Canada (27%) and Sweden (24%) reported similar levels of emotional distress.

The Commonwealth Fund’s 2016 international survey interviewed 26,863 adults from Australia, Canada, France, Germany, the Netherlands, New Zealand, Norway, Sweden, Switzerland, the United Kingdom, and the United States. Questions focused on people’s experiences with their country’s health care system—comparing their assessments of health care access, quality, and affordability—as well as on self-reported health and well-being. The study’s authors note that by examining the variation in performance of national health systems, the U.S. can gain useful insights as it implements new reforms and seeks to meet the needs of vulnerable patients.

“Previous surveys have shown that, especially compared to other industrialized nations, the U.S. has far too many people who can’t afford the care they need, even when they have health insurance,” said Robin Osborn, Vice President and Director of The Commonwealth Fund’s International Program in Health Policy and Practice Innovations and the study’s lead author. “This survey underscores that we can do better for our sickest and poorest patients, and that should be a high priority in efforts to improve our current system.”

9 ways hospitals can reduce debt

http://www.healthcaredive.com/news/9-ways-hospitals-can-reduce-debt/430488/

Healthcare reform has had a dramatic impact on hospital reimbursement. While millions of Americans are now insured under the Affordable Care Act, high-deductible health plans can leave patients cash-strapped after expensive episodes of care. Sometimes, patients can’t pay for the services they receive, pushing up bad debt at hospitals. At the same time, hospitals are dealing with lower reimbursements and a shift from inpatient to outpatient care, leaving some with property and beds that are no longer financially productive.

Take Community Health Systems for example. Burdened with $15 billion in debt , the Franklin, TN-based hospital chain sold a four-hospital joint venture and spun off 38 hospitals into a separate entity, Quorum Health Corp., earlier this year. Recently, the system inked deals to sell an additional 17 hospitals.

According to Patrick Pilch, head of BDO Consulting’s healthcare advisory practice, many hospitals and health systems don’t have a complete handle on what their costs of care are and they’re losing money as a result. “Understanding your costs of care as well as your cost of capital is imperative,” he tells Healthcare Dive. “Then align that to a future strategy. That’s where you’re going to pull your way out of debt.”

Hospitals should look at their assets, business plan, market and supply chain and then see how those align with their capital strategy, Pilch says. With interest rates expected to rise, non-investment grade hospitals will have a harder time getting capital. “If you have a lot of capital that’s not performing well, you’re in a bit of a state right now,” he adds.

Here are nine ways hospitals can work on debt:

What’s going to happen with House v. Burwell?

What’s going to happen with House v. Burwell?

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I’m getting a lot of head-scratching questions about the lawsuit, which is now pending at the D.C. Circuit. Let me see if I can help.

As I see it, there are two distinct questions in play:

  1. Does President Trump want to stop making cost-sharing payments on Day One, leading to the immediate collapse of the individual insurance market in many states? Or does he want to keep making the payments during a transition period?
  2. What approach will the Trump administration take to the litigation?

MultiCare plans to acquire Spokane health system

http://www.bizjournals.com/seattle/blog/health-care-inc/2016/11/multicare-plans-to-acquire-spokane-health-system.html

MultiCare Health System is acquiring Spokane's Rockwood Health System. This is the fifth partnership/merger/acquisition announced this month the health care industry in Washington continues to consolidate.

MultiCare Health System plans to purchase the assets of Rockwood Health System in Spokane from subsidiaries of a Tennessee-based health system.

Financial details of the agreement were not disclosed. The deal, which was announced Thursday, is expected to close in the first quarter of 2017.

This is the fifth partnership/merger/acquisition announced this month as the health care industry in Washington state continues to consolidate.

Rockwood Health System includes Deaconess and Valley Hospitals as well as Rockwood Clinic. Those facilities will become part of the MultiCare system, which includes five hospitals, 15 urgent care centers in the Puget Sound region as well as 11 RediClinics located inside select Rite Aid stores. MultiCare is also in the process of opening seven new urgent care clinics it announced in June. It calls these higher-end clinics Indigo Urgent Care.

Community hospitals: What’s your long-term game plan?

http://www.beckershospitalreview.com/facilities-management/community-hospitals-what-s-your-long-term-game-plan.html

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The volume of hospital M&A deals has doubled over the past six years, with fewer and fewer community hospitals still going it alone. For the remaining holdouts, they are at an important juncture: Should they continue fighting for independence or join a larger system?

This heavily-debated question is at the core of many board meetings. While the answer is unique to each institution, in either scenario, the community hospital that proactively controls its own destiny — instead of losing that control to market forces — can come out ahead.

Whether the future holds independence or acquisition, here is what leadership needs to know to position their hospitals for future growth.

What does it take to stay independent?
For efficient facilities with ample cash on hand, there’s an understandable allure to remaining independent. After all, the board of directors at a community hospital is typically made up of individuals from the local area who can continue to focus exclusively on addressing the needs of the local community rather than answer to a distant corporate team.

But a lean and high-volume operation today just isn’t a strong enough indicator to choose independence for the long term. Leadership must consider broader questions that take into account a host of internal and external factors:

‘Somewhere in between’: Finding the balance between quality and the bottom line

http://www.beckershospitalreview.com/finance/somewhere-in-between-finding-the-balance-between-quality-and-the-bottom-line.html

Values-GeneralLeadership

As healthcare continues its shift from fee-for-service to value-based care, hospitals and health systems are working steadily to try and improve quality while reducing costs. However, striking a balance between the two can be challenging.

At the Becker’s Hospital Review 5th Annual CEO + CFO Roundtable on Nov. 8 in Chicago, healthcare experts discussed how their entities balance rewarding physicians for quality and clinical activity in what is still primarily a fee-for-service environment.

“We’re not totally in a fee-for-service environment. We’re not totally in a value-based care environment. We’re kind of somewhere in between,” said Patrice M. Weiss, MD, executive vice president and CMO of Roanoke, Va.-headquartered Carilion Clinic. “In the past, the two were felt to be mutually exclusive, but recent models of care have demonstrated that quality of care can be delivered in a low-cost model.”

While the shift from fee-for-service to value-based care is slightly slower in coming to her organization’s region, they are preparing, according to Dr. Weiss.

Carilion is a nonprofit organization with a network of hospitals, primary and specialty physician practices and other complementary services. The health system offers physicians a base salary, as well as a Tier 1 bonus and a Tier 2 bonus. The Tier 1 bonus is based on scorecard measures, which include quality metrics, patient experience metrics and operating margin.

“We have found we’ve been able to reduce the cost by using evidence-based medicine, standardization of care and appropriateness of testing and imaging,” Dr. Weiss said. “This reduced utilization has not reduced the quality of care or outcomes but has reduced the cost of care, thereby positively affecting our operating margin. So improving quality care and reducing the cost of care are not mutually exclusive.”

Physician-led, cost-reducing initiatives and physician engagement have been primary drivers in achieving reduced costs and improved quality, according to Dr. Weiss. For instance, Carilion has a significant physician-led initiative on early elective inductions or deliveries. This initiative, which was based on national guidelines, resulted in less utilization of obstetrical resources at an earlier gestational age.

CFOs explain changing role, see collaboration key as healthcare changes

http://www.healthcarefinancenews.com/news/cfos-explain-changing-role-see-collaboration-key-healthcare-changes?mkt_tok=eyJpIjoiTlRBeU5EUTRNemMxTmpabSIsInQiOiJqTlZNaWFSY2Vid2c4T3JEeU1FNlkwOFwvcmp0U21idDZBU0w2NWZzTWM5Y0RDQWoxYzdLRjdKUkh4WFhvakZcL014Wk50eHR6ZnkybmY3VnNsOXBISElhS2FpazdXbW5LNWZiT2tKOVpRYzcwPSJ9

Image result for CFO changing role

While the old image of a healthcare chief financial officer centered on accounting, budgeting and overseeing the financial operations in general of a healthcare system, changes to the industry are turning that idea on its head. As clinical quality and technological prowess now have direct effects on the financial health of a hospital, the modern CFO must have a far more overreaching set of skills to perform at the highest level in their jobs.

To illustrate that, Healthcare Finance spoke to three CFOs in the field about how they got to the top and how that role has evolved during their tenures. All of them said the job demands more strategizing, collaboration and concern over quality than ever before.