On June 24, President Trump signed an executive order designed to improve transparency in the pricing of health care. It’s the latest move in an environment where consumers are exercising power over the cost of treatment, an area that historically offered them little wiggle room. Health care executives ... READ MORE >
Health care
As consumers gain leverage, lower health care deductibles are forthcoming
Over the past decade, higher deductibles have become standard for the majority of health care plans in the United States. That standard could change, however, as consumers gain a louder voice in the health care value equation. Nearly half of individuals covered by employer-sponsored health plans have a ... READ MORE >
Treatment of some leases under new FASB standard can result in balance sheet surprise
So-called embedded leases may not be the first thing you think of when considering the effects of ASU 2016-02 under the new FASB standard for lease accounting. But this much-anticipated new rule can provide a forcing mechanism for how your business treats leases tied to service contracts. When I ... READ MORE >
Want a fuller picture of biotech’s promise? Look beyond the public markets
A recent Wall Street Journal article highlights the underperformance of the Nasdaq Biotech Index against other benchmarks. The article implies the weak returns are due to a lack of blockbuster biotech therapies; at the same time, the piece underscores the robust private funding activity within the biotech ... READ MORE >
Investors eye hospital revenue bonds in search of yield
Investors are eyeing higher-yield hospital revenue bonds amid bargain prices underscored by the 10-year US Treasury, which is priced at its lowest level since 2017. But health systems have not yet stepped up to issue more debt to meet demand. Several bond deals issued in the first few months of 2019 ... READ MORE >
Health care deal outlook for 2019 good, despite slow start to year–panel
Health care deals are down to start 2019, but the outlook is good, largely due to of the amount of dry powder on the sidelines, a recent panel of private equity professionals noted earlier this month. The panel discussion, entitled “Financing the Deal,” was hosted by The Nashville Health Care Council, ... READ MORE >
Time to get real on GDP and gasoline prices–read The Real Economy
In this issue of The Real Economy, RSM Chief Economist Joe Brusuelas reviews leading indicators of economic activity as the United States heads into the late innings of this current business cycle. He also examines the impact of rising gasoline prices, which are pinching consumers' wallets just in time ... READ MORE >
Why health systems are buying into schools to offset their labor shortage
Some health care systems are using acquisitions to install their own talent pipelines in response to a shortage of skilled labor. In March, HCA Healthcare Inc., the large, publicly traded national hospital system, acquired a majority stake in Galen College of Nursing, a for-profit nursing school. In ... READ MORE >
Apple Heart Study should not dampen industry view of health tech
On March 16, Stanford researchers released results from the Apple Heart Study; this significant research project relied on data gleaned from some 420,000 adult Americans who agreed to wear an Apple Watch that monitored their cardiac rhythms to identify irregularities. The study, which used an iPhone ... READ MORE >
As telemedicine grows, a ‘digital front door’ lowers health-care costs
Telemedicine—like other industries where digitization of service has transformed an entire ecosystem—is dramatically changing health-care delivery. Many large integrated health systems view telemedicine as an opportunity to more affordably provide primary care. The technology allows patients to be ... READ MORE >