It’s no mystery that major parts of the health care sector took a significant hit to the bottom line this year as hospitals and other providers postponed elective procedures to make way for the influx of coronavirus patients. But one area of the health care sector -- managed care organizations -- has weathered the storm quite well. Generally, many managed ... READ MORE >
Health Care
From hospital systems to home care providers, the health care sector is replete with middle market companies. The health needs of an aging population assure that this industry will continue to grow in coming years.
While other health care subsectors see job gains, nursing and residential care continues to lag
While the health care ecosystem is broadly returning to work, nursing care facilities remain an exception. In the immediate aftermath of the pandemic and state-wide prohibitions on non-emergent, or elective, procedures the health care ecosystem shed 2.27 million jobs in August, the first broad job loss in health care in decades. Since then, we have seen ... READ MORE >
CHART OF THE DAY: Health care costs rise while tax revenue stagnates
As health care continues to represent a larger portion of U.S. gross domestic product, the federal government's ability to finance that expenditure through tax revenues has relatively declined. Corporate taxes as a percent of GDP peaked at 2.6% in 2007. In the aftermath of the global financial crisis that proportion fell to 1% in 2009 and recovered to 1.9% ... READ MORE >
As coronavirus spreads across the nation, aid to hospitals lags
As Congress debates a new round of stimulus measures to blunt the human and economic toll of the coronavirus, it has an opportunity to rethink the way it supports those who are working on the front lines of the pandemic: health care providers. In recent weeks, the scope and severity of the pandemic have changed dramatically, spreading beyond ... READ MORE >
Businesses already strained by COVID-19 should prepare for hurricane season
The Atlantic hurricane season is already off to a busy start, with six named storms having formed as of early July. And it is likely to get worse. The National Oceanic and Atmospheric Administration predicts a 70% chance that this hurricane season will be worse than normal, with just a 10% chance of being less damaging than normal. Anywhere from 13 to ... READ MORE >
Amid resurgence of coronavirus, health care providers feel mounting pressure
Nearly six months have passed since Health and Human Services Secretary Alex Azar declared the coronavirus a public health emergency. Yet we still face the some of the most difficult economic headwinds in generations. Expanded federal unemployment benefits will expire in 18 days, and soon after that so will the federal Paycheck Protection Program. ... READ MORE >
How hospitals can prepare for new price transparency rules
A recent court ruling has given the Trump administration a major victory in its push for transparency in health care pricing, and has left many health care providers scrambling to meet new requirements. While the burdens of meeting the requirements are high, in the end they represent an opportunity for health care providers to separate themselves from the ... READ MORE >
After suffering losses, health care providers could face a reckoning on debt covenants
Few industries have felt as big an impact from the coronavirus pandemic as health care providers – not only from the risks taken on by front-line medical workers but also because of the significant disruption of their operations. On June 30, there will be a reckoning of sorts. That’s when the quarterly financial results from many health care providers ... READ MORE >
Trump administration identifies 5 companies for government support in vaccine effort
Drug developers, academic institutions and government agencies across the globe are investigating more than 100 potential vaccines for the coronavirus. The Trump administration on Wednesday identified a handful of organizations that it believes are the most likely to produce a viable vaccine candidate, The New York Times reported. This is the latest step in ... READ MORE >
Testing, testing, testing: Preparing for the reopening of the economy
The United States is on target for 50,000 deaths from the coronavirus by the end of this week as the number of infections are set to surpass 1 million in the coming weeks. It’s a sobering reminder that, despite the decline in newly reported cases, Americans remain at risk. At the same time, with 26.5 million people losing their jobs over the past five ... READ MORE >