Recent Blog Posts

Think Obamacare will help hospitals? Think again

April 25, 2014
Comments(5)

The typical hospital around the country will see its profits wiped out entirely by the changes coming from health reform and the aging of the population. But in Indianapolis, the hits will be cushioned by this region's fatter commercial reimbursements.

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In Indiana, everyone makes big profits on health care

April 21, 2014
Comments(13)
Indiana is the most profitable state for Indianapolis-based WellPoint Inc., which operates Blue Cross and Blue Shield health plans in 14 states. WellPoint's margin for Indiana in 2012 was 5.8 percent, 38 percent higher than WellPoint's national average.
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Indiana's 10 (or more) most profitable health insurers

April 17, 2014
Comments(6)
WellPoint's commanding market share gave it a whopping $129 million in profit from its risk-based insurance products in 2012. But in percentage terms, WellPoint was not at the top of the heap.
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Competition, not higher premiums, is biggest threat to Obamacare buyers

April 14, 2014
Comments(7)
For consumers that get tax subsidies in the Obamacare exchanges, out-of-pocket premiums will remain steady even if insurers raise prices next year. But the subsidies could fall if insurers offer lower-cost plans.
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Five things I learned from the Medicare doctor payments

April 10, 2014
Comments(11)
From this week's historic data dump, I learned who the top 20 recipients of Medicare payments are in Indianapolis (hint: mostly labs, ambulances and eye surgeons). But the real takeaway is that meaningful price information about doctors is still a long way away.
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Lilly shares hit all-time high for the John Lechleiter era

April 7, 2014
Comments(2)
Court win last week in a patent challenge to lung cancer drug Alimta pushed Lilly shares higher than they've ever been since April 2007. Since then, the company’s pipeline has produced more misfires than the villains in a James Bond movie
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The Millionaire Doctors Club

April 4, 2014
Comments(34)
The scramble for physicians by hospitals in recent years has led to more than a dozen physicians cracking a million dollars in compensation—and three dozen receiving at least a half million dollars. Hospitals, meanwhile, are recording big losses on their physician practices.
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Do double-digit Obamacare rate hikes mean the law has failed? No, but ...

March 31, 2014
Comments(16)
For now, at least, the year-to-year price increases of individual insurance under Obamacare look a lot like they did before Obamacare. That’s not a failure, but it’s not a success either.
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Where do hospital profits go?

March 27, 2014
Comments(7)

When patients at Indianapolis-area hospitals pay their bills, they're not just funding their own health care. They're contributing to the care of Hoosiers in the rest of the state, too, especially care provided by hospital-employed physicians.

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Medic! Early signal shows hospital profits plunged in 2013

March 24, 2014
Comments(9)
Franciscan Alliance, always the first to report its year-end financial results, put out numbers that show a real decline in profit from operations of 58 percent.
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Top 10 most profitable hospitals around Indianapolis

March 20, 2014
Comments(31)
Based on 2012 data, 23 of 30 hospitals in central Indiana are generating profits from their operations of 10 percent or more. The Indiana Orthopaedic Hospital and St. Vincent's Carmel campus are on top. After that, there are a few surprises.
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Can we, please, get a better name than 'accountable care'?

March 17, 2014
Comments(3)
Health care is going through dramatic change—but is doing so under some of the dullest names possible. So I'm offering a few alternatives that are more to the point. How about, 'No-more-bankruptcy care'?
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In one chart: Obamacare exchange has failed to expand coverage in Indiana

March 13, 2014
Comments(11)
For 2014, at least, Obamacare's dreams of expanding individual insurance coverage in Indiana have simply failed. There's no getting around it.
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Republicans needed to make Obamacare work

March 10, 2014
Comments(2)
Obama's latest delay of Obamacare insurance rules could sabotage the law's exchanges. The president must be counting on Republican critics, like Indiana Insurance Commissioner Stephen Robertson, to stop him.
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Health insurance brokers must change to survive

March 7, 2014
Comments(7)
Employees, rather than employers, will soon choose their own health insurers—either through the Obamacare exchanges or through private exchanges. Does that mean health insurance brokers, the people who match up employers with insurers, will no longer be needed?
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Hospital layoffs hardly dented employment growth

March 3, 2014
Comment(1)
Even though the state’s three largest hospital systems--IU Health, St. Vincent Health and Franciscan Alliance--eliminated a combined 2,700 jobs, it created just a blip in the long-term run-up in hospital employment.
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Indy hospitals, doctors should start a price war

February 28, 2014
Comment(1)
The choice for health care providers is binary: either limit patient choice through restricted networks or preserve patient choice by making price transparency real and usable. Hospitals and doctors would be better served by the latter.
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Life sciences jobs pack 2-for-1 punch

February 24, 2014
Comments(2)
While life sciences companies don’t rack up huge jobs numbers, their relatively high pay means that every job they create is worth two in the rest of the private sector.
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What happens if Pence, Sebelius can’t make a deal?

February 20, 2014
Comments(8)
Even if Gov. Mike Pence and Obama's health secretary can't come to terms this weekend, there are ideas bouncing around the state legislature that suggest other ways Indiana could expand coverage to low-income Hoosiers.
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The weightlessness of Obamacare

February 17, 2014
Comments(15)
Rich employer benefits are not always so attractive, sick patients are not always money losers for insurers, and hospitals and doctors are now health care preventers rather than health care providers. This is the bizarre world to which Obamacare has brought us.
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Hospitals' worries about Obamacare plans misplaced

February 14, 2014
Comments(0)

The latest enrollment data from the Obamacare exchanges show that three out of four Hoosiers are purchasing decent coverage—not the super high-deductible plans that concerned hospitals.

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Generous employer benefits now hurt some workers

February 10, 2014
Comments(6)
Ever since World War 2, when employers started using health benefits to compete for workers, the less employees had to pay toward health insurance premiums the more attractive the benefits. But under Obamacare, this axiom will not always be true.
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Misery loves company: Hospitals, newspapers in the same (sorry) situation

February 6, 2014
Comments(5)
Both hospitals and newspapers face futures in which they'll serve more people for less money per person--but in the meantime, they're keeping the lights on using their old business models.
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Size matters: Big hospitals with largest market shares charge highest prices

February 3, 2014
Comments(0)
A new study of 10 cities, including Indianapolis, gives a picture of how big hospitals have been battling with big health insurers over prices—and winning.
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Despite exchange roller coaster, WellPoint says it's all going according to plan

January 29, 2014
Comments(2)
Since WellPoint says it's not losing money on the exchanges—at this point—that's encouraging news for those who would like the Obamacare exchanges to remain a viable option.
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