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COHE 6310 Health Care Accounting And Financial Administration
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COHE 6310 Health Care Accounting And Financial Administration
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Course Code: COHE 6310
University: Edith Cowan University
MyAssignmentHelp.com is not sponsored or endorsed by this college or university
Country: Australia
Question:
What concerns should health care providers have about high-deductible health plans with a savings option?
Answer:
The concerns that health care providers should have about high-deductible health plans with a saving option has been detailed here-in-below:
On surface it generally appears that high-deductible heath plan with low premium have eased the business of health care provider with increasing collection revenue and more people coming under the insurance bracket. However, the picture is not as rosy as it looks for hospitals. The hospitals have to plan out their billing and collection strategy otherwise bad debt and charity care shall evaporate the profits of the health care. (Oakley, 2015) Further, the cost of services covered is too high in comparison to the miniscule premium charged.
The coverage of plan to treat catastrophic disease also increases the burden of the service provider as the cost of treatment of such ailment is very high and the premium charged cannot cope up with such expensed. Thus , the risk of liabilities of healthcare providers are continuously increasing on account of increasing subscription by employers towards such schemes and thereby increasing the exposure of healthcare providers towards such risk. (JP Griffin Group, 2018)
Further, it has been shown that there has been reduction in spending post floating these plan.
References:
JP Griffin Group. (2018). Employee Benefits Blog. Retrieved September 19, 2018, from www.griffinbenefits.com: https://www.griffinbenefits.com/employeebenefitsblog/pros-and-cons-high-deductible-health-plans-hdhps
Oakley, K. (2015, May 13). What do high deductible health plans really mean for hospitals? Retrieved September 19, 2018, from www.healthcarefinancenews.com: https://www.healthcarefinancenews.com/blog/what-do-high-deductible-health-plans-really-mean-hospitals
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