Economics

This channel highlights factors that impact hospital and healthcare economics and revenue. This includes news on healthcare policies, reimbursement, marketing, business plans, mergers and acquisitions, supply chain, salaries, staffing, and the implementation of a cost-effective environment for patients and providers.

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CMS releases final 2018 Physician Fee Schedule rule

Additional cuts to what CMS pays to hospital-owned off-campus facilities were finalized in the Physician Fee Schedule rule for 2018, though the reductions were lower than what the agency had originally proposed.

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75% of medication alert overrides pose harm to patients

Alert fatigue for physicians has the potential to cause negative outcomes—but so does overriding those alerts. In a study published in Journal of American Medical Informatics Association, researchers evaluate the effects of overriding clinical decision support alerts.

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Fee-for-service’s share of healthcare payments is shrinking

In a report released by the Health Care Payment Learning and Action Network (LAN), 43 percent of payments to health systems came from traditional fee-for-service (FFS) payment models in 2016, down from 62 percent the year before, while alternative payment models’ (APMs) share increased from 23 percent to 29 percent.

ChartWise appoints Steven Mason as president, COO

ChartWise Medical Systems,providers of computer-assisted clinical documentation improvement (CACDI) software, has announced Steven Mason as its president and COO.

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ACA enrollment brings Catch-22 for insurers, confusion for customers

Nov. 1 marks the beginning of the Affordable Care Act (ACA) exchanges’ open enrollment period. Customers can expect some sticker shock with the most popular plans’ premiums rising by an average of 34 percent. Insurers, in turn, can expect fewer customers.

Prime Healthcare fined for converting hospitals to nonprofits without state’s permission

In what may be the largest fine the Rhode Island Department of Health has ever leveled against a health system, Prime Healthcare will pay $1 million for failing to get regulatory approval to convert two of its hospitals in the state into nonprofits.

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Medicare Shared Savings ACOs saved $652M in 2016

The more than 400 accountable care organizations (ACOs) participating in the Medicare Shared Savings Program (MSSP) in 2016 generated $652 million in gross savings, with the majority coming from groups which have been in the program since 2012 or 2013.

Amazon ‘could cause major M&A’ in pharma

The reported $66 billion proposal by CVS Health to buy Aetna may have been a reaction to Amazon’s anticipated entry into the pharmacy business, which could lead to a flurry of merger and acquisition (M&A) activity in the sector.

Around the web

Updated compensation data includes good news for multiple subspecialties. The new report also examines private equity's impact on employment models and how much male cardiologists earn compared to females.

When drugs are on the FDA’s shortage list, outsourcing facilities can produce their own compounded versions. When the FDA removed tirzepatide from that list with no warning, it created a considerable amount of chaos both behind the scenes and in pharmacies all over the country. 

If passed, this bill would help clinician-led clinical registries explore Medicare data for research purposes. The Society of Thoracic Surgeons and American College of Cardiology both shared public support for the bipartisan legislation. 

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