Rising drug prices and medical insurance costs have largely affected the patients who are now looking for better healthcare management at an optimized cost. Continuous digital advent in healthcare industry along with various alternate modes of treatment, patients are more watchful in availing better cost effective healthcare options that would take care of both health and wallet.For the years to come, the following trends in the healthcare industry are going to take the world by storm:
The outcomes of the latest health plan mergers will come under global limelight:
In all probability, the chief payer considerations concerning the healthcare industry would get its due share this year. The large amalgamations are already beginning to have an impact on contract deals between the health plans and providers. The big players in the industry have started a cost curtailing exercise that would delay hike in reimbursement rates too and the providers would answer back by combining into larger and more consolidated healthcare system.By law, the organizations going for a merger would have to set forth the pre andpost-merger customer welfare arising out of these acquisitions.
Value based arrangements could gain momentum:
Organizations in the healthcare industry are waiting to see what stand the US Federal government takes on the Cadillac Tax that was delayed by Congress for 2 years at the end of 2015. If the tax gets done away with altogether, there would be a further reduction in consumer welfare with higher deductibles and co insurances as employees try to stick to cost limits stipulated.
Health plans will enhance their endeavor to generate value or efficient network that will swap narrower network for easy premium and out of the pocket costs to the customers. This will speed up provider unification either through mergers, affiliations, or clinically amalgamated network as they strive to provide a comprehensive and yet specialized and dedicated highly efficient network.Once set up, these new networks will have to exhibit value effectively to draw employers and expand market share.
Establishing your organization as the lowest cost leader in the market is just a part of the exercise. You need to meet customer satisfaction and quality norms as well to complete the other and more important part.
Provider owned health plans will gain more interest from health systems:
Health systems that are continuing their evolution into clinically consolidated network will confront more pressure to have more authority over their reimbursement streams. It is estimated that more providers would become inclined to owning a health plan or go in consortium arrangement with other providers who already own a health plan.
Besides there is a chance of a shift in strategy from competing directly with large health plans to ‘plan to plan ‘ strategy which will let the integrated delivery network and health plans to collaborate more comfortably.Finally, some recently established provider owned health plans have strived hard; so new players will be more discriminatory and wary as they customize their market and product approach to this strategy.
It will be an important year for health insurance exchange products:
With the Affordable Act insurance, exchange products ceaselessly tend to expand as we enter 2016. A crucial success element of this provision depends on insurers continuing to offer these products in spite of suffering losses in the starting years. Healthcare system should expect an ongoing hike in high deductible plans and a heightened load on reimbursement rates as health plans press on to fit these products to the newly insured’s requirements and their own requirements for growth.
Healthcare industry trends in a nutshell:
1. Drug pricing solutions would take a key role in deciding the future of healthcare industry.
2. Merger frenzy would continue to be a prime driver in order to survive in the competition.
3. People would have a chance to have an access to healthcare services when and where they find it convenient.
4. Cyber security would gain high importance for both the providers and consumers as healthcare Industry is becoming more and more dependent on the internet.
5. With mergers and acquisitions, the tax liability of the companies would be largely affected directly hitting the government revenue. This would be a political issue. Besides rising medical costs will also become a pivotal issue in election campaigns.
6. Value based services would gain momentum in healthcare industry.
7. A lot of emphasis is expected to be laid on care management records.
8. Combining devices and data stored in those devices and channelizing those data in healthcare delivery process would gain importance.
9. For consumer grade users, demand will shoot for enterprises having expertise in healthcare software.
Increasing drug prices and medical costs along with telemedicine and renewed healthcare plans and insurance are going to create a huge impact on the patients’ pocket in the coming years.