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Payers & Providers NEWS Page 2
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Payers & Providers NEWS Page 3
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Payers & Providers OPINION Page 4
9-21:)!;6!<++1)!$
2011’s Top Ten Healthcare Trends
'(&)*+!,!'*-./0)*+!/+! Keep an Eye on Capital Needs, Adverse Selection
=1%2/+3)0!).)*&!>31*+0(&!%&!
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778?!@4!(441(2!/40/./01(2! For those who liked 2010, 2011 looks a again be a focus for all hospitals in
+1%+A*/=B/-4!/+!CDD!(!&)(*! little more promising. Job loss trends seem response to downward revenue pressure,
EC$FD!/4!%12GH?!<B!/+!0)2/.)*)0! to have slowed, with modest economic soft volume, and a deteriorating payer mix
%&!)I:(/2!(+!(!'JK! growth expected in 2011. Much of what with increased bad debt. Organized labor,
(BB(A3:)4B6!-*!(+!(4!)2)AB*-4/A! will likely occur in 2011 is a continuation staffing ratios, and numerous regulations
4)L+2)BB)*? of an improving 2010. The pressures on will make cost reduction difficult.
providers to reduce costs and improve • Capital remains elusive. As in 2010,
quality will continue to increase. Expect most non-profit hospitals will find it
continued consolidation of hospitals and difficult to access capital. Lenders are
@22!(0.)*B/+/456!+1%+A*/%)*!(40! medical groups/independent practice requiring an increase in days cash-
)0/B-*/(2!/4M1/*/)+N associations. Physicians will also on-hand, higher coverage ratio,
continue to seek employment stronger EBITDA, and smaller
EOPPH!"FOI";Q# through hospitals or in large
/4R-S=(&)*+(40=*-./0)*+?A-: borrowings. Credit rating agencies
medical groups. want to see: 1) physician alignment
Lastly, given all the interest in strategy, 2) clinical integration and
T(/2/45!(00*)++N
accountable care organizations, cost reduction action, 3) IT plan,
O$O!U?!V-22&L--0!W(&6!X1/B)!Y bundled payments, and patient-
Y1*%(4G6!8@!D$Z#Z and 4) plans to capture more market
centered medical homes, many share.
organizations will question their Physician organizations will make
W)%+/B) ability to organize in time, align or break new care models. To
LLL?=(&)*+(40=*-./0)*+?A-: providers, manage costs, and demonstrate better value through
K(A)%--G improve quality while maintaining By Steven improved outcomes and lower costs,
LLL?R(A)%--G?A-:[=(&)*+=*-./0)*+ choice of provider and open access. hospitals and medical groups will
>L/BB)* The devil remains in the details. T.
focus on delivering accountable care,
LLL?BL/BB)*?A-:[=(&)*+=*-./0)*+ Here are five of 10 trends I Valentine and designing and implementing
believe will take shape during 2011. bundled payments, patient-centered
The remainder I will discuss in next week’s medical homes, and/or clinical integration.
issue: In California, the large medical groups (e.g.,
• Insurance membership takes a hit Healthcare Partners, Monarch, Hill
\0/B-*/(2!Y-(*0 from slow recovery. The economy will Physicians, Regal, etc.) all function as ACOs
XB).)4!>?!9(2)4B/4)6!'*)+/0)4B6! remain sluggish given high unemployment or close to one. Reducing variation in
>3)!8(:0)4!]*-1= and significant underemployment. Few physician care will be central to any
unemployed take advantage of COBRA, successful strategy.
^-++!]-20%)*56!83(/*:(4!-R!B3)! and those who are employed will pay a An effective bundled payment strategy is
Y-(*06!7-+!^-%2)+!V-+=/B(2!,! larger portion of their health plan dependent on specialists who must address
T)0/A(2!8)4B)* premium. Consequently, they will likely clinical resource consumption and supply
choose high deductible, low premium cost and use, as well as standardization of
\2(/4)!Y(BA32-*6!T?J?6!83/)R! PPO plans which will result in adverse care protocols in conjunction with
T)0/A(2!_RR/A)*6!7?@?!8(*)!V)(2B3! selection to HMOs. Kaiser Permanente hospitalists and intensivists. Frequency of
'2(4!
will continue to gain market share. procedures will become the responsibility of
V)4*&!7-1%)B6!83/)R!XB*(B)5&! • No easing on payment pressure. both primary care and specialists. Similarly,
_RR/A)*6!`))4(4 Payments from health plans will keep healthcare reform places the primary care
pace with inflation and operating cost physician at the center of the medical home
increases while Medi-Cal and Medicare and accountable care models.
payments will not.
'1%2/+3)*[\0/B-*I/4I83/)R
• Patients postponing care hurts Steven T. Valentine is president of The
^-4!X3/4G:(4 providers, too. Volumes at hospitals, Camden Group. He is a member of the Payers
)0/B-*S=(&)*+(40=*-./0)*+?A-: ambulatory centers, and physician offices & Providers editorial board.
will remain soft at 2010 levels as patients
postpone visits due to health plan benefit
Op-ed submissions of up to 600 words are
design, increased cost sharing, and high
welcomed. Please e-mail proposals to
unemployment.
editor@payersandproviders.com,
• Cost is king. Cost management will
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Payers & Providers MARKETPLACE/EMPLOYMENT Page 5
MEDICARE COMPLIANCE ADVISOR - ensures that L.A. Care and its subcontracted provider network is compliant with all Centers
for Medicare &!Medicaid federal regulatory requirements. This is achieved by participating in the annual PPG and quarterly audits,
working with internal and external staff to correct performance deciencies, identifying internal areas for improvement, serving as
the compliance contact with Plan Partners for member grievance oversight, provider services oversight, and interpreting CMS/SNP
Program requirements for L.A. Care. ! Additionally, this individual is a resource to internal staff on compliance matters relating to
CMS/SNP standards, including, but not limited to, marketing materials, grievances and appeals, member rights issues, and claims
adjudication.! Responsible for performing internal audits, monitoring for implementation of corrective measures, and interpretation
of CMS requirements. !Working knowledge of federal and state requirements is required, as well as highly developed analytical skills
and excellent verbal and written communication skills.!
To apply, email resume with salary history and requirement to: recruiter@lacare.org referencing “Payers & Providers Ad”
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Payers & Providers MARKETPLACE/EMPLOYMENT Page 6
Or visit: www.payersandproviders.com
*New England Journal of Medicine, 2004.
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