he COVID-19 outbreak has growing concerns around two key aspects in healthcare—increasing hospital capacity to offer care, and price transparency in helping patients understand the cost of care. Recent regulatory updates have made clear announcements that COVID-19 testing is free of cost for patients with health coverage. However, patients without coverage could incur a huge cost. Some of the key patient questions and concerns around costs include hospitalizations, emergency room visits and office visits, which may or may not be covered under insurance.
Healthcare consumers show frustration and anxiety over the lack of transparency in patient-provider communication around the cost of care. The final rule for care providers has placed a significant focus on price transparency as one of its key goals. The Price transparency rule unveiled by the Trump administration was upheld in court regardless of the American Hospital Association’s (AHA) lawsuit. This rule elucidates that care providers need to make price transparency—a top priority to build trust and drive up their market share—post the COVID-19 crisis.
The cost of care is one of the key components that help consumers decide if or when they would visit a healthcare provider. A recent survey reveals that the cost of care is a major determinant that keeps a healthcare consumer from seeking help—when experiencing COVID-19 symptoms. These consumers had a lack of access to patient-friendly pricing details and knowledge that hospitals could negotiate and reduce their out-of-pocket expenses.
Congress has recently enacted legislation stating that COVID-19 tests would be free of cost for most patients-while private payers are required to cover providers’ costs. Though the new regulations aim to remove the financial barriers in COVID-19 testing, insurers and patients are both witnessing huge variances in COVID-19 testing. Despite the new legislation, patients are still burdened with huge bills for COVID-19 testing.
Case in Point: As reported by a TV journalist in April 2020, a woman took a COVID-19 test—post experiencing tightness in the chest. Though the test results were negative, the woman received a shocking bill amount of $1,496 by the hospital. This incident illustrates the importance of hospitals in improving price transparencies and communication with patients on the cost of care. The woman had a negative patient experience—directly impacting the Patient Satisfaction Index (PSI.)
Technology plays a significant role in improving cost transparencies and elevating patient communication. Some of the key technologies that hospitals could leverage include—intelligent automation, interoperability, out-of-pocket estimator tools that could come handy in driving lasting patient-provider relationships.
As we grow out of this global epidemic scenario, consumer expectations are most likely to increase with growing concerns around cost control and patient experiences. SolvEdge believes that leading players will make their strategic initiatives to prioritize cost transparency and take the opportunity to boost net revenues and gain market share. Here are three patient engagement strategies that help care providers build a more transparent patient experience:
Understand prices relative to the market. Even before elucidating the cost of care, health plans and care providers need to have in-depth knowledge of competitor status and pricing strategies in the market. This will ensure that you are less vulnerable to government regulations and consumers as a whole.
Review the overall pricing strategy. Compliance is only one aspect of an overall pricing strategy. Rather than looking at the downside of the new regulations, a winning organization’s secret lies in taking the opportunity to make price transparency a unique value proposition in the market—that can invariably help boost revenues and capture market share.
Establish communication with consumers about the cost of care. Cost transparency can be used as a major catalyst by healthcare providers to elevate their patient engagement strategy. Improved communication and information on price transparency can give healthcare consumers better control over their costs, leading to long-term benefits for the provider, including— enhanced patient experience and improved consumer trust and patient satisfaction.
The Centers for Medicare and Medicaid Services (CMS) will publish further guidelines on price transparency regulations and compliance in the upcoming days. As we begin to see the light of the COVID-19 outbreak, hospitals and health systems should place immense focus on acting swiftly—by initiating measures on the steps outlined above and more—to capitalize on the price transparency regulations—and best position themselves to gain the competitive advantage.
To learn more on the latest patient engagement strategies to transform your digital initiatives, talk to our team.
