Relatively Flat Growth In Medical Costs Is Steady Yet Unsustainable For Consumers
"It looks like costs are stabilizing, but they are still going up at a rate above inflation," said Barbara Gniewek, of PricewaterhouseCoopers. "They are still increasing at an uncontrolled level and are ultimately unsustainable."
Modern Healthcare:
Healthcare Costs Increasing At Unsustainable Pace
Medical costs are poised to continue their relatively flat growth in 2019, but researchers say the steady trend is unsustainable for consumers. The expected 6% growth in 2019 aligns with the 5.5% to 7% trend over the past five years—a welcome change from the double-digit spikes in the 2000s—but higher costs haven't translated to similar gains in consumers' health and productivity, said PricewaterhouseCoopers researchers who studied employer-sponsored healthcare spending. (Kacik, 6/13)
In other health industry news —
Modern Healthcare:
Kaiser Permanente Partners With Emory Healthcare
Kaiser Permanente and Emory Healthcare will partner to create a fully integrated healthcare experience at Emory University Hospital Midtown and Emory St. Joseph's Hospital in Atlanta, the organizations announced Wednesday. Starting in October, the two hospitals will become the primary hospitals for physicians and members of Kaiser, which provided an undisclosed capital contribution to expand both facilities. (Kacik, 6/13)
Boston Globe:
Steward Health Care Voices Opposition To Beth Israel-Lahey Merger
Steward Health Care System is joining the opposition against the big merger of two of its rivals, Beth Israel Deaconess Medical Center and Lahey Health. ...The merger, which received one approval in April and is pending others, would create a large new health system of 13 hospitals and thousands of doctors stretching across Eastern Massachusetts. (Dayal McCluskey, 6/13)
Columbus Dispatch:
Cardinal Health Sells Majority Stake In IT Firm NaviHealth
Cardinal, Ohio’s largest public company, announced the sale Wednesday, saying it will retain a 45 percent interest in Nashville-based NaviHealth after selling a 55 percent stake to New York-based Clayton, Dubilier & Rice. Exact terms were not disclosed, but Cardinal said its after-tax proceeds should be $650 million. (Matzer Rose, 6/13)
