Battle of the bulls: Aetna threatened ACA participation over Humana merger blockage

http://www.healthcaredive.com/news/battle-of-the-bulls-aetna-threatened-aca-participation-over-humana-merger/424640/

  • In July, Aetna sent a letter to the Justice Department insinuating it would leave the ACA market if its pending merger with Humana was blocked by the DOJ, The Huffington Post reported.
  • Aetna announced late Monday it was exiting nearly 70% of the ACA markets it participated in next year (parsing down 778 counties to 242).
  • On Monday, CEO Mark Bertolini cited losses in the millions as the reason for the decision. However, the July letter obtained by The Huffington Post implies the decision was more influenced by the Justice Department lawsuit.

Seven healthcare industry trends to watch

http://managedhealthcareexecutive.modernmedicine.com/managed-healthcare-executive/news/seven-healthcare-industry-trends-watch

 

Five things that keep health execs up at night

http://managedhealthcareexecutive.modernmedicine.com/managed-healthcare-executive/news/five-things-keep-health-execs-night

 

Four predictions for the future of healthcare

http://managedhealthcareexecutive.modernmedicine.com/managed-healthcare-executive/news/four-predictions-future-healthcare?cfcache=true&ampGUID=A13E56ED-9529-4BD1-98E9-318F5373C18F&rememberme=1&ts=12082016

Healthcare policy has long been a moving target, but it’s hard to remember a time when more change was cycling through the industry. Now, more than half a decade since the passing of the Affordable Care Act (ACA), the focus has shifted from expanding access to health insurance to reforming the delivery of healthcare.

In particular, policymakers have embarked on a series of experiments and initiatives to transition from the traditional fee-for-service (FFS) system to a payment-for-value delivery system, with key attention to cost containment and quality improvement.

We are in the first generation of pursuing approaches better than FFS, and expect the industry’s shift toward value-based care (VBC) to accelerate and continue to impact providers, patients, vendors, and payers in different ways.

Now a little more than halfway through 2016, we thought it would be a good time to look at trends in the industry and how they will shape the relationships among stakeholders for the years to come.

WHY IT MATTERS: Health Care

http://bigstory.ap.org/article/a6c6a83bd9f7435ca6f79423f1240c4d/why-it-matters-health-care

About 9 in 10 Americans now have health insurance, more than at any time in history. But progress is incomplete, and the future far from certain. Millions remain uninsured. Quality is still uneven. Costs are high and trending up again. Medicare’s insolvency is two years closer, now projected in 2028. Every family has a stake.

Patients from all over the world come to America for treatment. U.S. research keeps expanding humanity’s ability to confront disease. But the U.S. still spends far more than any advanced country, and its people are not much healthier.

Obama’s progress reducing the number of uninsured may be reaching its limits. Premiums are expected to rise sharply in many communities for people covered by his namesake law, raising concerns about the future.

The health care overhaul did not solve the nation’s longstanding problem with costs. Total health spending is picking up again, underscoring that the system is financially unsustainable over the long run. Employers keep shifting costs to workers and their families.

No one can be denied coverage anymore because of a pre-existing condition, but high costs are still a barrier to access for many, including insured people facing high deductibles and copayments. Prescription drug prices — even for some generics — are another major worry.

The election offers a choice between a candidate of continuity — Clinton — and a Republican who seems to have some core beliefs about health care, but lacks a coherent plan.

If the presidential candidates do not engage the nation in debating the future of health care, it still matters.

Transgender bias case against Dignity Health could set off religious freedom clash

http://www.modernhealthcare.com/article/20160810/NEWS/160809895?utm_campaign=CHL:%20Daily%20Edition&utm_source=hs_email&utm_medium=email&utm_content=32861909&_hsenc=p2ANqtz-9qL_IaEO7Hx72W4SFvgvo0t4dNzK_5X_TSeG2I4XooJHczu-Qvacm_omfrbvDQpoiVRLJqkyM8MICvHlogoy3wIWsUEA&_hsmi=32861909

Dignity Health has answered a federal discrimination lawsuit filed by a transgender nurse by arguing that civil rights law does not require its self-insured employer health plan to cover gender reassignment-related care. It says Title VII of the Civil Rights Act does not cover transgender status as a protected classification.

The San Francisco-based hospital chain also argued last month in response to the closely watched suit—one of the first of its kind in the country—that HHS’ May rule barring categorical exclusion of coverage for gender transition services does not take effect until Jan. 1, 2017. Prior to that, it argues, federal law does not require an employer to provide health coverage for “sex transformation” treatment.

In addition, the new federal anti-bias rule does not bar self-insured employer health plans from excluding benefits for services that are not medically necessary, according to Dignity’s motion for dismissal. It said “the medical efficacy of sex transformation surgery remains the subject of debate.”

But lawyers for the American Civil Liberties Union who are representing nurse Josef Robinson say both Title VII and the new HHS rule interpreting Section 1557of the Affordable Care Act clearly require employers and health plans to cover treatment related to gender dysphoria. That’s the name for the condition where people feel they are not the gender they were assigned at birth.

Legal experts expect more such lawsuits following HHS’ issuance of the anti-bias rule in May.

A state-by-state breakdown of 71 rural hospital closures

http://www.beckershospitalreview.com/finance/a-state-by-state-breakdown-of-71-rural-hospital-closures.html

More than 70 rural hospitals have closed since 2010 — and many more may be headed down the same path.

Rural hospitals are facing a myriad of financial challenges, and those in states that have not expanded Medicaid are feeling the most financial pressure. Sixty-three percent of hospitals vulnerable to closure are in states that have not expanded Medicaid, according to a report from iVantage Health Analytics, a firm that compiles a hospital strength index based on data about financial stability, patients and quality indicators.

Here are 25 states that have closed at least one rural hospital since 2010, according to research from the North Carolina Rural Health Research Program. For the purposes of its analysis, the NCRHRP defined a hospital closure as the cessation in the provision of inpatient services. Although all of the facilities listed below no longer provide inpatient care, many of them still offer services, including outpatient care, imaging, emergency care, urgent care, primary care or skilled nursing and rehabilitation services.

Liberal and conservative reformers press candidates on ACA changes

http://www.modernhealthcare.com/article/20160113/blog/160119943

Vital Signs Blog

Some liberal healthcare policy experts are urging an ambitious, costly program to expand and improve the Affordable Care Act’s coverage. Meanwhile, conservative policy mavens are promoting an even more ambitious ACA replacement packagethey say would reduce the uninsured rate and lower healthcare spending with less government intervention.

Falling in between, the centrist Bipartisan Policy Center recommended last month that the Obama administration meet with governors to advance new health insurance approaches, including flexible use of the ACA’s Section 1332 state innovation waivers allowing implementation of alternative coverage models.

These proposals represent efforts from the left, right and center to frame the health policy options for the next president and Congress following the November elections. Indeed, Democratic presidential candidate Hillary Clinton has proposed measures similar to those offered by the liberal reformers to make healthcare more affordable, while Republican hopefuls Jeb Bush, Marco Rubio and Chris Christie have borrowed ideas from the conservative experts.

“The smart players realize this isn’t a healthcare election,” said Lawrence Jacobs, a political science professor at the University of Minnesota who studies healthcare politics. “But that doesn’t mean you’re not active preparing the ground for post-election discussions.”

The authors, including Joseph Antos of the American Enterprise Institute, James Capretta of the Ethics and Public Policy Center, and Gail Wilensky of Project Hope, acknowledged the political and policy difficulties in implementing these changes. “The depth and breadth of the reforms listed here are not likely to be accomplished and perhaps not even attempted in a single presidential term,” they wrote.

Republicans have been sharply criticized for failing to present their own reform plan. They are hobbled by sharp differences between various factions of the party. Some favor a comprehensive plan with tax subsidies to help people afford coverage, similar to the conservative policy experts’ proposal described above. Others prefer a much more limited approach featuring Republican standbys such as limits on medical malpractice lawsuits, allowing insurers to sell plans across state lines, letting employers band together to buy insurance, and greater reliance on health savings accounts.

Despite the prodding from liberal and conservative reformers, the University of Minnesota’s Jacobs predicts that neither Republican nor Democratic candidates will offer detailed healthcare proposals during this year’s election campaign. The Democrats will avoid it because they don’t want to open themselves to criticism about more costs and regulation. Their message is “consolidation and bite-size improvements” in the ACA. Meanwhile, he said, Republicans don’t want to discuss specific plans with features that may resemble Obamacare and would alienate their political base.

After the election, even if the Republicans win the White House, “reality is staring them in the face, the world has changed, and going back (to the pre-Obamacare system) is not an option,” Jacobs said. Depending on the size of their victory, they may ratchet down premium subsidies and convert Medicaid into a state block grant program. But given healthcare industry and public support for many key ACA features, he predicted Republicans largely would be “relabeling aspects of Obamacare.”

What will happen with healthcare policy under President Trump … or … Clinton?

http://www.modernhealthcare.com/article/20160723/MAGAZINE/307239984

The November elections surely won’t end the nonstop, eight-year political war over the shape of the U.S. healthcare system. But the ballot results likely will determine whether the changes driven by the Affordable Care Act continue in the same direction or the system returns to its less-regulated, pre-ACA contours.

Heading into this week’s Democratic National Convention, Hillary Clinton has promised to preserve and expand the ACA’s coverage expansions and delivery system reforms. Donald Trump, who accepted the Republican nomination last week, says he wants to repeal them, without offering much detail about what he would put in their place. The fate of the victor’s proposals, however, will depend heavily on the partisan makeup of Congress.

The clearest scenario is if Trump wins and his party retains control of both the House and the Senate, which would enable conservatives to repeal or roll back the ACA and implement at least some of the proposals outlined in the GOP party platform and the recent House Republican leadership white paper on healthcare. But there are divisions even among conservatives over issues such as Medicare restructuring and how to help Americans afford health insurance. And Senate Democrats almost certainly would use their filibuster power to block major ACA changes.

If Clinton wins and Democrats take control of both the Senate and the House—which is considered unlikely—she might be able to push through proposals such as increasing funding for federally qualified community health centers. But Senate Republicans also could use the filibuster to foil her. In the more likely scenario of a Democratic-controlled Senate and a GOP-controlled House, it’s not clear how much Clinton could achieve through the legislative process.

Could Trump loss spur ACA deal with Clinton?

http://www.modernhealthcare.com/article/20160806/MAGAZINE/308069967?utm_campaign=KHN:%20Daily%20Health%20Policy%20Report&utm_source=hs_email&utm_medium=email&utm_content=32680906&_hsenc=p2ANqtz-8nP5ZXs-xTx8YLmsU1xy2D7TA9W-YZGGEprO1iMVPktjne-ajvgjdNOgE7EhYYIrcsUGRYbMfLZjXQgfzB6vtOj6qj7w&_hsmi=32680906

With Donald Trump’s presidential campaign faltering, Republican health policy experts are gaming out Plan B for working with a Hillary Clinton administration to achieve conservative healthcare goals.

Their focus is on a possible “grand bargain” that would give conservative states greater flexibility to design market-based approaches to make coverage more affordable and reduce spending in exchange for covering low-income workers in non-Medicaid expansion states. A key element, conservative experts say, would be for a Clinton administration to make it easier for states to obtain Section 1332 waivers under the Affordable Care Act. Those waivers allow states to replace the law’s insurance exchange structure with their own innovative models.

While none are ready to sign on yet, congressional Republicans would have to agree to shore up the ACA’s struggling exchange markets by paying insurers for enrolling sicker populations and continuing to help low-income enrollees’ with cost-sharing responsibilities. House Republicans are challenging the cost-sharing subsidies in court.