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New GOP Congress Likely to Consider Insurer Bailouts

The Republican-led 114th Congress will have to decide whether to provide taxpayer dollars to health insurance companies facing losses for selling policies on the exchanges established by the Affordable Care Act. The subsidies are built into the law but require an appropriation from Congress, according to the Congressional Research Service. If Congress does not approve funding for the subsidies, insurers are likely to have to raise premiums to avoid losses, or stop offering policies on the...

Coordinated Care Increases Health Care Costs

A study published in the Journal of the American Medical Association has found consolidation between physician practices and hospitals may increase some forms of care coordination but leads to higher total expenditures per patient. The study’s findings suggest recent reforms aimed at promoting coordination of care may not save money. “The same service when performed as a ‘hospital outpatient service’ is reimbursed at a higher rate than when performed as an ‘office-based physician service,’”...

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