Rising Health Care Costs For Employers Means Less Coverage For Employees
A report by the Business Group on Health showing health care costs projected to rise 9% in 2026 has caused companies to reevaluate benefits and contracts for the coming year. A survey shows 66% of employers are worried Medicaid and Medicare cuts will mean hospital cost increases for the commercially insured.
Modern Healthcare:
Employer Healthcare Costs To Increase By 9% In 2026: Report
Employers are renegotiating vendor contracts, paring back benefits and implementing new pharmacy models to offset the largest projected rise in healthcare costs in at least a decade. Large companies’ median healthcare costs will grow by an estimated 9% in 2026, up from 8% this year, and the highest increase since at least 2017, according to a report the Business Group on Health published Tuesday. Employers plan to use a variety of strategies to combat rising expenses. Making changes to the health insurance they offer employees could reduce the anticipated increase in costs to 7.6% next year, the report said. (Tepper, 8/19)
Stat:
That AI Scribe Your Doctor Is Using? It May Make Your Bill Go Up
Like any conscientious health policy PhD student, Paige Nong went to the doctor for her free annual well visit. But as she checked in, the person at the front desk said something that made her anxious. “Just so you know, don’t discuss any problems while you’re in the room,” she recalled the receptionist saying. “Because if you do, we’ll change the visit to an office visit and you’ll get charged for it.” (Trang, 8/20)
On robotic surgery and AI —
Modern Healthcare:
Robotic Surgery Heats Up With Clearances And Clinical Trials
From regulatory green lights to clinical trial wins, the pace of developments in robotic surgery is quickening. The global surgical robot market was valued at about $4.3 billion in 2024 and is expected to reach approximately $7.4 billion by 2030, according to market research firm Grand View Research. The North American market accounted for nearly 50% of that revenue last year, led by the U.S. Four new surgical robots have been introduced this year and major medical technology companies like Medtronic and Johnson & Johnson are making headway with clinical trials. (Dubinsky, 8/19)
Modern Healthcare:
Health, Medical Business To Expand AI Use In 2026: Chase Report
Small- and medium-sized health and medical services businesses in 2026 will use AI more than similar-sized businesses in other industries, according to a report published Wednesday. The report, by Chase for Business, the consumer and commercial banking business of JPMorgan Chase, analyzed how 600 small- and medium-sized businesses with between $100,000 to $20 million in annual revenue from several industries about their AI plans for next year. (Broderick, 8/19)
Modern Healthcare:
Epic Releases Generative AI Tools For Clinicians, RCM
Epic is releasing generative artificial intelligence tools for clinicians, patients and revenue cycle management functions, CEO Judy Faulkner announced Tuesday. The company is developing native AI charting, called Art for Clinicians, that will use ambient generative AI to create patient summaries, make diagnostic insights and find patients with similar diseases through Epic’s Cosmos platform. The patient-facing generative AI tool, called Emmie, will help patients schedule visits, set their agendas and understand what they need to do after visits. (Perna, 8/19)
The Washington Post:
Mental Health Experts Say ‘AI Psychosis’ Is A Real, Urgent Problem
Hundreds of millions of people chat with OpenAI’s ChatGPT and other artificial intelligence chatbots each week, but there is growing concern that spending hours with the tools can lead some people toward potentially harmful beliefs. Reports of people apparently losing touch with reality after intense use of chatbots have gone viral on social media in recent weeks, with posts labeling them examples of “AI psychosis.” (Tiku and Malhi, 8/19)