What’s happening in health?
 
 
 

What's happening in health?

As one of the biggest industries on the planet, there’s always something happening in healthcare. Here’s what has captured our attention recently.

Industry news

Private hospitals are facing tough times as costs of doing business keep rising while a major source of their revenue – private health insurers (PHI) – are seen to be holding tight to profits. The ill-will between PHI and private hospitals is best demonstrated by the battle between the St Vincent’s group and NIB, which is at breaking point.

Suggestions of a crisis in the private hospital sector are underlined by key players co-operating with a Federal Government review. Health Services Daily reports that, “79 facilities — including day surgeries, endoscopy centres, private hospitals, wound care centres, cosmetic surgery centres, dental centres, respiratory and sleep disorder clinics, dialysis clinics and mental health centres — have either closed or revoked their declaration as a private hospital since 2019”.

Internationally, post-pandemic use of telehealth has fallen and major retail chains who leapt into healthcare are back-pedalling. American companies Walmart and Walgreens winding back their health businesses (see What retail titans might do next on health care (axios.com)), makes us wonder how Healthylifeis going for Woolworths, locally.

The pressure to be profitable means most hospitals are searching for ways to reduce the costs of delivering care. Managing patients in their own beds may be cheaper than hospital beds and so the cash-strapped UK National Health Service has committed to scaling up virtual care.

If the NHS needs a success story to use as inspiration, the ever-innovative Cleveland Clinic is hailing its acute hospital care in the home program a success for patients and staff, while acknowledging further improvements are possible. For details, see Lessons from Cleveland Clinic’s 1st year of ‘hospital at home’ (beckershospitalreview.com).

Melbourne’s Austin Hospital has also committed to virtual wards as business as usual, particularly for cardiac and haematology patients.

And the Federal Government is funding virtual careto chip away at a barriers to accessing mental health inpatient care, (partly caused by a shortage of accessible psychiatrists).

Keeping it real on artificial intelligence

Investors seeking share-market alchemy remain bullish on Artificial Intelligence while potential end users want ethical, regulatory and security assurances to precede introduction of these potentially very useful new tools. The American Medical Association offers sensible tips on technology adoption here: In the push for AI in health care, avoid EHR rollout mistakes | American Medical Association (ama-assn.org)

As to the smorgasbord of AI news, here is an aperitif:

 
We're all healthcare consumers

We also keep a close watch on consumer health news, in the interest of all of us avoiding hospitalisation. Here are some insights aimed at keeping our engines running:

Evidence is mounting that good gut health boosts mental health and ability to handle stress. Stress: Could a healthy gut microbiome make you more resilient? (medicalnewstoday.com)

Multivitamins, however, might only contribute to expensive and colourful urine. Another Study Finds No Life-Extending Benefit From Multivitamins (healthday.com)

In other product news, the old advice (or excellent marketing) that taking aspirin reduces risk of heart attack appears to have been debunked – unless you have previously had a stroke or heart attack. American Adults Warned Over Aspirin Use Despite Risks – Newsweek

Stanford University research, published in the journal Nature Medicine, has identified six different types of depression, which has implications for better treatment and management of mental ill-health. 6 types of depression identified in Stanford study | CNN

And there are clear reasons to avoid COVID19 because the long form of the illness is particularly nasty. Report: More than 200 symptoms tied to long COVID | CIDRAP (umn.edu)

The last word

Police, prisons and hospital emergency departments are often the professionals most likely to be dealing with people experiencing acute mental ill health. Here’s a good news story of how technology and faster access to treatment can successfully divert people from EDs and custody – https://www.healthcareitnews.com/news/outfitting-police-telehealth-ipads-mental-health-program-saves-government-62m?

Tales from the Frontline: APHA Congress 2024
 
 

Tales from the Frontline:
APHA Congress 2024

Members of the Australian Private Hospitals Association (APHA) gathered in glorious weather on the Gold Coast for their annual congress last week but the industry forecast was for turbulence and storms ahead.

Across the two-day event, MediRecords Tim Pegler found that the recurring theme was that many private hospitals are barely breaking even — or are loss-making — and that hospital closures are imminent.

Mental health facilities are struggling to recruit and retain psychiatrists, who can find a better income and lifestyle working privately via telehealth. Private maternity hospitals are also at risk.
 
Tension with the private health insurance (PHI) industry was evident; many APHA members pointed to indexation of PHI fees failing to keep up with escalating costs for labour, IT systems, insurances, administration, cybersecurity, and building costs.
 
PHI representatives returned fire, being critical of private hospitals building new facilities that result in competition for doctors, which are already in scant supply. They said rising costs of living are driving consumers to downgrade their PHI memberships, making them eligible for fewer private hospital procedures.
 
If private hospitals close, particularly in regional areas where doctors are scarce, the impact will be felt throughout the public system with longer waitlists and more pressure on emergency departments.
 
An appetite to find common goals and work together – government, private sector, public sector and PHIs, seemed to be one positive note for the Congress.

Other Congress insights

  • 15 private hospitals have closed in the past year, including 4 mental health facilities.
  • The national shortage of GPs and radiologists is likely to worsen, with a generation of practitioners due for retirement without ready replacements.
  • Private hospital operating costs are rising rapidly while revenue is falling. 43% of hospitals have an EBITDA below 5% and 68% below 10%. A consultant warned that innovation and investment are not occurring and if this doesn’t change further closures are likely.
  • The public system has embraced virtual care more than the private hospital system.
  • Queensland Health has a Surgery Connect program outsourcing waitlisted surgical procedures to private hospitals.
  • PHI representatives say chemotherapy, hospital in the home and rehabilitation in the home programs will be vital to support Australians but more GPs need to refer to these services.
  • The ADHA reported strong growth in use of the My Health Record (MHR), which now houses 50% of pathology reports and 20% of diagnostic imaging reports. It urged more private hospitals to integrate with the MHR, cautioning that disconnected health information systems “are no longer sustainable”.
Looking to stay updated with the latest from MediRecords?

Sign up to the newsletter