Key Opportunities Hospitals Leaders Shouldn’t Overlook
The trials of 2020 have left many in the healthcare industry searching for ways to diversify their income. Due to COVID-19, hospitals across the nation are estimated to lose $200 billion between March 1 and June 30, according to a report from the American Hospital Association. This current financial strain and shaky future prospects are pushing healthcare institutions to find creative ways to keep revenue flowing while still maintaining high-quality care.
Becker’s Hospital Review cites the reimbursement landscape challenges and dwindling patient volumes as two main factors leading at least 29 hospitals across the U.S. to file for bankruptcy this year. In this post, we’ll consider how hospital leaders can turn these leading indicators of distress into golden opportunities for growth.
Innovative Thinking is the Answer
Stratasan understands how vital innovation is to growth. In the past, we’ve offered practical tips for fostering innovating in your organization, shared insights collected from an innovation conference, and outlined how we’re committed to letting innovative thinking drive our product development process. In this post, we consider a couple of innovative opportunities for healthcare leaders to consider as they look for opportunities to improve their financial prospects in the months to come.
Opportunities for Innovation in Virtual Care
Dwindling patient volumes are a real concern for providers. But a quick and immediate fix to this issue could already be blossoming. Providers must jump on board and find ways to accommodate the demand for the traditional alternative—virtual care. As mentioned in a previous post, we witnessed a momentous spike in virtual care claims and encounters starting in March of 2020. These virtual care offerings are clearly meeting consumer expectations and the rapid adoption has shown that it is possible to make this kind of shift quickly. In all likelihood, this shift in care delivery is here to stay, as the public will expect this to be an ongoing option once concerns over the virus have subsided.
Survey data shows consumers like using telehealth services, both because they’re more convenient (65 percent) and help avoid COVID infection (63 percent)—and 51 percent say they would continue using them after the pandemic ends.
Gist Healthcare shared the following in their July 3 weekly email: “We’re increasingly convinced that virtual physician visits are just one part of a continuum of care that can be delivered in the convenience and safety of the patient’s home.” Gist goes on to share a graphic that highlights the range of consumer-focused virtual care solutions. This graphic shows opportunities “from asynchronous chat interactions all the way to hospital care delivered at home.”
In this post, we share a number of ways growth planners can embrace telehealth and be better prepared for the future, including managing readmissions, reevaluating expansion opportunities, and leveraging data in virtual care planning. All-Payer Claims Data (APCD) provides unique insights that can inform hospitals and health systems as they prepare to respond to the growth of telemedicine. Knowing when and where to tap into these data-based insights will be critically important.
Opportunities for Innovation in Reimbursement Negotiations
With “reimbursement landscape challenges” considered to be a leading factor for many hospitals filing for bankruptcy this year, it’s clear there’s a need for fresh thinking when it comes to payer-provider reimbursement discussions. Providers, in particular, need to be better equipped as they walk into reimbursement negotiations. More data-based insight and more transparency into where opportunities lie for increased reimbursement is key. The right insights can show how payer contracts compare to the market, how payer rates have changed over time from facility to facility, and highlight financial opportunity.
Stratasan has partnered with Ancore Health to create the Market Reimbursement Analyzer (MRA). This tool allows for analysis by payer, provider, and service line, showing how reimbursement rates compare to the market. Utilizing 835 All-Payer Claims Data, MRA provides commercial reimbursement values by CPT/APC code for a particular market—including points of service such as physician offices, hospital outpatient departments, and ASCs.Curious to see how it works? Check out this post from Ancore Health where you can interact with a dashboard and get a glimpse of the MRA solution's functionality.
For healthcare leaders interested in staying viable and profitable, innovative thinking is a must. Without new strategies and creative solutions, a hospital can quickly get buried in our current state of troubling healthcare affairs.
For more information on how Stratasan can partner with you to focus on two of the key factors impacting hospitals today, including how to address virtual care and how to improve reimbursement negotiations, contact us and schedule a discovery call today.
Article by Morgan Atkins, VP Product and Innovation for Stratasan