Insight, analysis & opinion from Joe Paduda
In what will come as no surprise to anyone, Congress will eliminate the pending cut in Medicare physician reimbursement. Not only that, but docs who agree to report certain data to CMS will actually get a 1.5% increase in reimbursement from the Feds.
If you listen very closely, you can almost hear the medical community’s resounding “yippee”.
The reasons docs are not exactly ecstatic about the news are two-fold.
Coventry is going to get into the work comp case management business. Public and private sources indicate that an acquisition is in the offing, and while it may not be CorVel, it will likely include an asset with case management capabilities.
This looks to be the week for health care quality, outcomes, and reporting posts. The latest comes to us courtesy of Fierce Healthcare and the Boston Globe in a report on cardiac surgeons’ patients’ death rates.
If the recent contretemps in the mass media and blog-o-sphere about provider quality measures, patient responsibility and cost issues are any indication, a lot of folks are thinking hard and talking loud about these issues.
Here’s a synopsis of some of the more trenchant observations.
Next year, CIGNA will be (financially) encouraging members to go to more cost efficient providers. The mid-tier health plan has announced that it will be charging members less if they go to lower cost physicians.
CIGNA’s not alone. Aetna’s been a leader in disclosing cost data. Other health plans, partially motivated by a mandate from the Federal Employee Health Benefit Program to publish cost data, more and more health plans are dipping their corporate toes in the water.
Continue reading Patients should know which providers are cheaper
CorVel continues to intrigue. After my last post/prognostication about the potential for CorVel to be on Coventry’s acquisitions-we’re-thinking-about list, trading volume jumped by 40%. I’m not claiming a causal relationship, just a statistical one.
Since then, the average volume has been six times what it was earlier in the year. The stock price itself has seen a similar trajectory, with CorVel now trading close to $60 a share, almost four times its 52 week low.
The problem with consumer-directed health plans as presently constructed is fundamental.
They will not work.
They miss the target entirely, mis-understand the problem, and, if taken seriously, will distract from getting to a real solution.
On the other hand, when they fail miserably, as they inevitably will, we’ll be in such bad shape that a radical revision of the health care system may well be possible.
Thanks to Graham for the reminder…
My first reaction to a picture of a Medicaid recipient with one leg lost to diabetes smoking was outrage. After reflecting, I’m still outraged.
Continue reading Personal responsibility and health care costs
It’s starting.
Rep. Stark (D CA) is already talking about cutting subsidies for Medicare Advantage programs, which he claims are costing taxpayers over 12% more than standard Medicaid programs.
This comes as no surprise to loyal readers and those who are old enough to remember when “Pete” Stark was a major player in national health care policy.
Michael Cannon brings his Libertarian perspective to the latest edition of Health Wonk Review at his blog Cato-at-Liberty.
Michaels finds himself agreeing with Ezra Klein, complimenting Matthew Holt, and finding common ground with Lief Wellington Haase.
I can almost hear faint strains of “Kumbaya”…
