Medicare Cuts 2024 Payments For Safety Net Hospitals By Almost $1B
The CMS cut of $957 million to a fund destined to help pay hospitals that treat poor and uninsured patients is more than eight times larger than one proposed in April, Stat says. Also in the news: Cigna reports a net income fall, people want weight-loss drugs despite the costs, and more.
Stat:
Medicare Slashes Safety Net Hospital Payments By Nearly $1 Billion
The federal government will pay hospitals that treat poor and uninsured patients almost $1 billion less next year, a cut that’s more than eight times larger than the one proposed in April. The Centers for Medicare and Medicaid Services originally said it would cut payments meant to help safety net hospitals by $115 million in 2024. In the final rule released this week, however, that cut grew to $957 million. The pool of money is known as Medicare’s disproportionate share hospital (DSH) payments and uncompensated care payments. (Bannow and Herman, 8/4)
From the insurance industry —
Modern Healthcare:
Cigna 2Q Earnings Report Shows Net Income Decline
Cigna intends to raise premiums to compensate for greater-than-expected, $160 million in risk-adjustment charges for its health insurance exchange business this year, the insurer disclosed Thursday. (Tepper, 8/3)
Bloomberg:
Weight-Loss, Diabetes Drugs Like Ozempic, Wegovy Raise Cigna (CI) Profits
Cigna Group sees rising demand for new obesity and diabetes drugs known as GLP-1s that will boost earnings, according to a company executive. “GLP-1 utilization does continue to build,” Cigna Chief Financial Officer Brian Evanko said during a call with analysts on Thursday. (Tozzi, 8/3)
KFF Health News:
Survey: Americans Want Weight Loss Drugs Despite High Cost
Many Americans really want to lose weight — and a new poll shows nearly half of adults would be interested in taking a prescription drug to help them do so. At the same time, enthusiasm dims sharply if the treatment comes as an injection, if it is not covered by insurance, or if the weight is likely to return after discontinuing treatment, a new nationwide KFF poll found. (Appleby, 8/4)
Several health facilities are hit by cyberattacks —
Becker's Hospital Review:
Ransomware Shuts Down Facilities At Connecticut Health System
A cyberattack at Manchester-based Eastern Connecticut Health Network is causing closures and emergency room diversions, NBC Connecticut reported Aug. 3. According to the health system's website, the attack prompted the closure of all primary care locations and specialty care locations. The disruption was also felt at all Prospect Medical Facilities, ECHN's parent company, according to its website. (Schwartz, 8/3)
The Philadelphia Inquirer:
Ransomware Hits Crozer Health And Its Owner Prospect Medical Holdings
Computer systems at Delaware County’s Crozer Health were offline Thursday after a ransomware attack on the health system’s owner, Prospect Medical Holdings Inc., the company said. (Brubaker, 8/3)
More health industry developments —
CIDRAP:
Report Highlights Hospital Sinks As Source Of Highly Resistant Pathogen
A case report published today in Morbidity and Mortality Weekly Report highlights the role of the hospital water environment in the transmission of highly resistant, difficult-to-treat pathogens. The report by researchers with the Centers for Disease Control and Prevention (CDC), Idaho Division of Public Health (IDPH), and Utah Public Health Laboratory (UPHL) describes the identification and investigation of carbapenemase-producing, carbapenem-resistant Pseudomonas aeruginosa (CP-CRPA) in two patients who stayed in the same room in an intensive care unit (ICU) in Idaho 4 months apart. (Dall, 8/3)
The Boston Globe:
State To Give Hospitals $180 Million In Latest COVID Relief
The state’s most vulnerable hospitals are about to get an infusion of cash, thanks to a supplemental budget bill that Gov. Maura Healey signed this week. Legislators said the hospital funding, a total of $180 million, will be essential to institutions grappling with deep financial losses lingering from the pandemic, but specific rules will mean the money is targeted to hospitals that serve high portions of low-income patients and those with proven financial difficulty. (Bartlett, 8/3)
Bangor Daily News:
Former Maine Doctor Sued Over Hundreds Of Illegal Prescription Allegations
A civil lawsuit against a former Maine doctor claims he allowed another person to electronically prescribe drugs in his name while he was out of the country. The complaint, filed Aug. 1, claims Douglas Jorgensen caused electronic prescriptions for Schedule II drugs to be dispensed by another person using his U.S. Drug Enforcement Administration registration from Sept. 25, 2018, through April 26, 2019. The allegations are a violation of the Controlled Substances Act, which ensures that such drugs are accounted for when dispensed and distributed. (O'Brien, 8/3)
KFF Health News:
KFF Health News' 'What the Health?': Congress Is Out. The Presidential Campaign Is In
Congress has left for its annual August recess, but lawmakers have a long to-do list waiting when they return — and only a handful of legislative days to fund the government before the Oct. 1 start of the new fiscal year. Meanwhile, Republican presidential candidates who are not named Donald J. Trump are preparing for their first televised debate and making interesting promises about health care. (8/3)
