A 12-page “Trendwatch” report published in June by the American Hospital Association (AHA) provides excellent guidance on how hospitals can adjust their operations to remain competitive in light of the Affordable Care Act (ACA). The report (available at the link below) discusses the impact of the ACA on multiple variables:
1) Increasing coinsurance and deductibles will make consumers more price sensitive at the point of care
2) Consumers will demand cost information to guide decision-making
3) Providers will carry the burden of patient education at the point of care
4) Greater exposure to costs may lead to delayed or avoided care
5) Higher patient cost-sharing can increase bad debt
6) Hospitals may lose volume to lower-cost providers
7) More options leave consumers to balance multiple plan features in decision-making
The bottom-line takeaway from the report is that hospitals will have to implement new strategies to succeed in today’s rapidly evolving marketplace, where consumers are more actively engaged in the purchase of coverage and care-delivery services.
At the end of the report, the AHA provides five strategic questions for hospital executives, including options for how to answer/address those questions. This is a valuable report for all hospital executives and will help you provide proactive “thought leadership” throughout your organization.
The report is available for download here: