Morning Briefing
Summaries of health policy coverage from major news organizations
Providence Health Plan To Quit Medicaid, Obamacare, Employer Markets
Modern Healthcare: Providence Health Plan To Exit Medicaid, ACA, Employer Markets
Providence Health Plan will quit the Medicaid and job-based insurance market next year, along with exiting the health insurance exchanges. The insurance division of the Renton, Washington-based nonprofit health system hopes to maintain its Medicare Advantage operations by partnering with a national carrier, Providence President and CEO Erik Wexler said in a Wednesday news release. The company did not name the national insurer, but Wexler said it is hoping to finalize the agreement shortly. (5/20)
More Medicaid developments —
Becker's Hospital Review: CMS To Cap State Medicaid Payments To Save $775B: 7 Things To Know
CMS on May 20 proposed a rule that would cap certain state Medicaid payments and align them more closely with Medicare rates. The proposed rule would create new limits for Medicaid state-directed payments and certain fee-for-service payments to reduce Medicaid spending by more than $775 billion over 10 years, including $510 billion in federal savings, according to the agency. (Condon, 5/20)
Stat: Florida Hospitals Get $8 Billion In Medicaid State Directed Payments
The federal government is sending nearly $8 billion in supplemental Medicaid funds to hospitals in Florida for care they delivered last year, delivering a windfall to facilities in the politically influential state ahead of the imposition of new limits stemming from President Trump’s 2025 tax cut bill. (Herman, 5/20)
In other healthcare industry news —
Modern Healthcare: Centerwell, Rush, DaVita Invest In Chronic Disease Technology
Health systems, kidney care companies and primary care providers are investing millions of dollars in technology to keep chronic illnesses such as diabetes, kidney disease, heart disease and hypertension from spiraling out of control. The diseases affect three out of four adults and account for about 90% of healthcare spending, according to the Centers for Disease Control and Prevention. (Eastabrook, 5/20)
Modern Healthcare: Memorial Hermann’s David Callender On Using AI To Meet Demand
Memorial Hermann Health System is increasingly relying on technology to coordinate follow-up care as it works to anticipate the needs of one of the nation’s fastest-growing regions. The 18-hospital nonprofit health system has reduced costs and increased capacity by using artificial intelligence-backed digital tools to direct patients to the most appropriate care settings, President and CEO Dr. David Callender said. Reimbursement pressure and surging demand for care will drive additional investment in the system’s expansion and technology infrastructure, he said. (Kacik, 5/20)
The Baltimore Sun: Dr. William DeVoe Dies, Led St. Joseph Hospital Pediatrics
William Floyd DeVoe, a prominent pediatrician in Towson, died May 15 of chronic health failure at Arden Courts in Ruxton. The Phoenix resident was 87.A graduate of Johns Hopkins University, Dr. DeVoe cared for children in Baltimore County for 45 years — more than half of that at St. Joseph Hospital in Towson, where he served as chief of Pediatric Medicine for 25 years. (Klingaman, 5/20)
