The ramifications of an election year on healthcare could be significant, says one CEO.
Many of the challenges CEOs have been dealing with since the pandemic aren't going anywhere in 2024, but this year brings a new wrinkle that will impact leaders in undetermined ways.
It's no secret that this is a presidential election year. Depending on how it shakes out, healthcare could be greatly affected for the foreseeable future—much more that most sectors. That makes 2024 an important year for the future of the industry, Karmanos Cancer Institute president and CEO Boris Pasche told HealthLeaders.
"That is what I see as the looming potential changes," Pasche said. "Where will Congress and the new president take us in the next in the next four years?"
Whether incumbent president Joe Biden remains in office or is beaten by a challenger will impact all areas of the healthcare system, from hospitals to insurers and everything in between.
"There are different philosophies in terms of healthcare, in terms of coverage, in terms of insurance," Pasche said. "Obamacare is now more than 15 years old. It's still there, but there are a lot of things that will probably be discussed during this this election year—price of drugs, accessibility, insurance coverage. So I think it's a very important year to come in terms of the future of healthcare because we know that healthcare eats up a very large amount, a very large fraction of the national budget and for good reasons."
How much can CEOs plan for what may come in November? Very little, Pasche said. Even with forecasts on the regulatory climate, leaders will have to wait and see like the rest of America on what's in store.
While Pasche believes the government is and will continue to be dedicated to cancer care, he doesn't know exactly what that will look like. He pointed to the 340B program, which was hit by prescription drug payment cuts for 340B-covered entity hospitals by nearly 30% in CMS' final rule in 2018 during Donald Trump's presidency. In June 2022, under a different administration, the Supreme Court unanimously rejected the payment cuts to hospitals, deeming them unlawful.
"That's one example that show you how tenuous this balance is in terms of healthcare depending on political decisions," Pasche said.
Other potential changes on the horizon will be weighing on the minds of CEOs over the next 12 months, even if they're unclear on what their response will be.
Jay Asser is the contributing editor for strategy at HealthLeaders.
KEY TAKEAWAYS
Looking forward to what 2024 will bring, Karmanos Cancer Institute president and CEO Boris Pasche told HealthLeaders that the presidential election is impossible to ignore.
Even though the election won't take CEOs by surprise, Pasche believes it's consequences on all parts of healthcare are difficult to plan for.