In our current times it seems to be very turbulent in many ways.
One of the ways is the impact on the healthcare industry due to the new rule of pricing transparency. As if the repercussions of the COVID-19 pandemic was not hurting healthcare systems with the loss of revenue and now this.
It’s understandable that the patients will benefit from this new ruling but the question is how will the healthcare systems fare?
That is the question.
The grim fact remains that this rule will go into effect in January 2021. It is important that healthcare systems manage their revenue cycle more effectively and efficiently.
Revenue cycle management is now more important than ever before and the good news is there are solutions to help maintain and even increase revenue during these difficult times.
Healthcare leaders should be seeking out 3rd party solutions, although it is an expense, depending on government bailout funds isn’t fully the answer.
An organization should be proactive to protect it’s revenue so having a partnership with a 3rd party solution seems like the best route.
From a patient’s point of view, it’s important to realize that most healthcare is “shoppable,” meaning it’s not an emergency.
Of course, no one expects patients to shop around for healthcare when they are in an emergency and bleeding in the back of an ambulance.
But surprisingly, over 90 percent of healthcare spending is on non-emergency care.
In fact, the pandemic has revealed that a great share of healthcare is “elective,” meaning that it’s not optional, but that it can be scheduled in advance; it’s not urgent.
President Trump has shown great leadership on price transparency. In fact, he has signed executive orders that mandate the same requirements in The PRICE Transparency Act. However, it will be better for patients if these rules are codified by an act of Congress.
Executive actions can be reversed by future administrations; laws aren’t so easily undone. And if you think that a future administration would have no reason to reverse healthcare price transparency, you may be underestimating the political influence of the healthcare industry’s powerful lobbying arm.
Price transparency in healthcare enjoys incredible public support. Fully 88 percent of Americans in a Harvard-Harris poll say they favor requiring it. In these divisive times, leaders would do well to focus on issues like price transparency that bring so many Americans together and have so much potential to help transform health care for the better.
Obviously, the healthcare systems are not as fond of this decision but it’s becoming the true reality of the future of healthcare.
But as previously mentioned, there are solutions that will help the healthcare systems providing this rule isn’t appealed by the AHA.
The future of healthcare is uncertain but the hopes of improving overall for both the providers and the patients are on the horizon.
MCA is here to help, and we offer many solutions to pricing transparency. Feel free to contact us for a demo or join our upcoming webinar to learn more.