With unemployment rising in a sputtering U.S. economy, many analysts and investors expected hospital chains to take a hit in the recent first quarter from more uninsured patients coming through their doors. But so far, earnings reports from companies show uninsured admissions remain stable-to-declining. Analysts, however, warn against declaring the first-quarter results a trend. They say the declines could simply reflect the fact that people who lost health insurance benefits are putting off care, or that COBRA and public programs such as Medicaid are picking up the slack.
In a report, the Institute of Medicine said doctors should stop taking much of the money, gifts, and free drug samples they routinely accept from drug and device companies. The report is a stinging indictment of many of the most common means by which drug and device makers endear themselves to doctors, medical schools, and hospitals. It is even more damning than a similar one released last year by the Association of American Medical Colleges, which proposed tough new rules governing interactions between companies and medical schools.
In an effort to crack down on healthcare fraud, the Florida House on unanimously passed tighter licensing rules for certain health service providers to reduce the number who fleece Medicare and Medicaid, then flee the United States. The proposal designates Miami-Dade as a "healthcare fraud area of special concern" and would require an applicant to be a resident of the United States for at least five years to be licensed to operate a home health agency, medical equipment provider or a health clinic, unless the applicant files a bond of at least $500,000.
Minnesota regulators have cited Regions Hospital in St. Paul for neglect of care in the case of a patient who died last year after suffering brain damage. In a report, investigators from the Minnesota Department of Health said hospital staff members chose to silence the alarm on a device monitoring the patient's oxygen level "rather than make a proper assessment" of the patient's condition. Because Regions has taken corrective action, however, the state did not issue a licensing "deficiency," a penalty that, in rare cases, could lead to loss of eligibility for state and federal reimbursements.
Health insurer Aetna Inc. reported a slight rise in net income as membership increased, but it cited higher-than-projected medical costs in its commercial business that serves employers. Net income rose to $437.8 million, or 95 cents per share, from $431.6 million, or 85 cents per share, a year earlier. People who are losing their jobs and taking COBRA post-employment insurance are using more medical services than expected, Aetna said. It also said people are using more services, such as getting more tests, when they visit the doctor.
U.S. officials said on Wednesday morning that swine flu has killed a 23-month old child in Texas, the first U.S. flu death. The number of confirmed U.S. swine flu cases rose from 45 to 66 on Tuesday as health officials warned that at least some American fatalities are likely.
The number of U.S. cases remains small compared with the outbreak's epicenter, Mexico, where about 150 people are reported to have died from the new, highly contagious viral strain.