Health care's perfect storm: Tech, costs, and political battles
Americans are hoping to feel relief from high medical costs, but also want the benefits that improving health technologies afford.
As the 2024 presidential election approaches, thought leaders are considering the potential changes that consumers will see within many sectors – including health care. The latest Axios Pro Report examines what health care-related issues will be most important over the coming year.
After little investment in health care technology over the past few years, the report found that stakeholders are once again showing interest in medical advancements. Although the pandemic spurred a number of challenges within the health care sector, including labor-shortages and rising costs from inflation, it also brought about new technologies such as telemedicine.
As new technologies, treatments and medication enter the health care space, the Axios Pro Report predicts that the flow of money and legislative outcomes will have a large effect on the speed and direction of the current health care transformation.
According to the report, Americans are hoping to feel relief from high medical costs, but also want the benefits that improving health technologies afford. In particular, the report found that lawmakers are focused on pharmacy benefit managers (PMBs) who negotiate drug prices with pharmaceutical companies on behalf of insurers and due to market incentives, often steer consumers toward higher-priced drugs.
Notably, lawmakers are looking to overhaul the 340B discount-drug program to provide greater clarity and transparency about who is eligible. Though, the report disclosed that hospitals, pharma and other stakeholders are fighting over the details in Congress and nationwide.
Additionally important, the report revealed that House Democrats have pushed drug companies to address the shortages of critical cancer, ADHD and antibiotic medications.
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While there is a clear focus on prescription drugs and health care technology, the report also outlines potential changes to the cost and availability of health care entitlement programs, such as Medicare and Medicaid.
Although the report reveals some of the largest predicted transformations within the health care industry, the intersection of new technology and private sector concerns with Congress’ agenda will determine the future outlook of health care in the U.S.