Healthcare Financial Crisis and the Potential Outcomes.
NHS FPX 6008 Assessment 3 highlights that healthcare economics is one such issue that people, healthcare providers, organizations, and even communities take seriously. The overall impact of the inability to obtain inexpensive health insurance appears to be very significant when considering the economic aspect of the issue, and it spreads to other factors connected to productivity and health (McKinsey, 2022).
At the personal level, insufficient insurance coverage subjects a person to alienation and a lack of access to health care, creating a strong business case for change in how coverage and accessibility are addressed. When this problem is transferred to the organizations, it will result in higher medical expenses and possibly lower productivity as workers become ill or require costly emergency care. The community faces the threat of infectious disease transmission, decreased economic activity, and increased health care costs in the absence of preventative measures.
The lack of access to health care and financial stability can have a variety of effects on those without insurance (Peng and Zhu, 2021). In the absence of insurance, these individuals would take care of their health costs. This can be very expensive, considering the people who are in need of long-term care or the people who are chronically ill. Also, NHS FPX 6008 Assessment 3 indicates that individuals might delay or even evade the needed medical attention, leading to severe health issues in adulthood (Peng and Zhu, 2021).
The possibility that employers will be forced to pay their own portion of healthcare expenses by treating the uninsured will be very high. This will drive the high cost of healthcare and potentially increase the insurance payments that the employees have to make (Karpman et al., 2021). Moreover, as it has been emphasized in NHS FPX 6008 Assessment 3, poor
productivity is a major issue, as the uninsured employees tend to get sick or seek emergency services that can be costly.
The World Health Organization (WHO) states that the economic aspect of the healthcare problem should not be disregarded since it necessitates actions to increase the accessibility of essential healthcare services, as well as the efficiency of the healthcare sector through the provision of reasonably priced health insurance (WHO, 2019). Therefore, a strong business case for change management in health policy and practice must be made to attain universal coverage of inexpensive healthcare services, irrespective of social class or income.
Feasibility and Cost-Benefit Analysis
A thorough feasibility study and cost-benefit analysis are required to address the economic problem of healthcare insurance availability and affordability. Examining the feasibility of implementing affordable healthcare insurance while taking into account factors like the current state of politics, the economy, available resources, and so forth is known as feasibility considerations (Illinois Government, 2021). The ACA serves as a model, and states that failed and resisted it politically were not spared by the political drive to expand access to health insurance (Campbell and Shore-Sheppard, 2020).
According to the cost-benefit analysis, the solution to expensive health insurance is expensive startup costs, even though it will eventually lead to lower healthcare costs and improved health outcomes (King, 2020). A third of the annual cost of uncompensated care for uninsured individuals has been reduced as a result of the cost savings required to provide the ACA coverage benefits, as highlighted in NHS FPX 6008 Assessment 3. This indicates that long-term cost savings are achievable (Karpman et al., 2021). Additionally, additional
preventative care services were made available as a result of the ACA, which supports the idea of affordable healthcare solutions.
Mitigating Risks to Financial Security
Three potential strategies mentioned in NHS FPX 6008 Assessment 3 can be used to lower the financial risks connected to healthcare organizations:
- Enhance Cost Management: By negotiating lower costs for medical services and supplies, healthcare organizations can enhance cost management while simultaneously increasing the effectiveness of healthcare delivery. This would reduce the organization’s financial strain and make it more sustainable (Sturmberg and Bircher 2019).
- Grant Receipts or Partnership with Other Healthcare Providers: Getting grants and forming partnerships with other healthcare providers are two further strategies to improve the financial basis role and lessen an excessive reliance on the fee-based model (Kosala & Heengama, 2019).
- Implement Risk Management Plans: Also known as contingency plans, risk management techniques can assist firms in becoming more financially risk-tolerant in the case of any unforeseen circumstance, including pandemics or catastrophic events (Auditboard, 2021).
Evidence-Based Research to Support Strategies
Academic sources and evidence-based research support these suggested concepts. The idea that cost-control and revenue-diversification initiatives in the healthcare sector significantly contribute to the financial outcome and survival of healthcare organizations. It is supported by the findings of research papers published in the Journal of Healthcare Finance and Journal of Healthcare Management (Truong, 2022; Carney, 2020). According to Sturmberg and Bircher (2019), the Agency of Healthcare Research and Quality also offers suggestions for risk management in healthcare institutions.
Affordable healthcare insurance can prove to be a tough financial decision to make as a business case of change management in healthcare reform. It should be considered along with many other aspects, such as feasibility, cost-benefit analysis, and risk management. The reason behind this is that the investigations and academic literature are evidence-based in formulating such solutions and can be implemented by providing valuable information as a guideline to such practices.
Affordable Healthcare Insurance Solutions
The financial issue of the low-cost health insurance can be sorted out in several ways:
- Medicaid expansion: Graves et al. (2020) present the argument that expanding Medicaid as a whole to uninsured persons and families that were not once covered by Medicaid has been documented to raise spending on health care, care access, and population health overall among low-income earners.
- Public Option: The next alternative would be to introduce the concept of the public option in health insurance that will enable people to acquire inexpensive health insurance plans through the government. This could lead to a considerable rise in the level of competition, affordability, and the overall cost of insurance and healthcare in general (Rapfogel & Calsyn, 2021).
- Talking About the Price of Prescription Drugs: Addressing the high cost of prescription pharmaceuticals is another approach that may have a positive effect, such as lower healthcare costs and improved access to life-saving medication. Price transparency, the parallel importation of less expensive medications, and pharmaceutical industry control are some of the tools and procedures to achieve this (KFF, 2019).
Implementation of the Provided Solution and Potential Benefits
According to NHS FPX 6008 Assessment 3, implementing these solutions will greatly benefit organizations, coworkers, and the community at large. These solutions can lower healthcare expenses, improve employee well-being and productivity, and give businesses financial security. Financial strain will lessen, overall health outcomes will improve, and the community and coworkers will have easier access to the healthcare services they require.
Finally, there are economic solutions to the issue of inexpensive health insurance, including Medicaid expansion, a public option, and prescription medications. By lowering healthcare expenditures, expanding access to essential healthcare services, and improving general health outcomes, the aforementioned solutions can have a major positive impact on communities, organizations, and coworkers. The scholarly and research references offer helpful details to help establish these solutions successfully.
Solutions Addressing Cultural and Ethical Considerations
Cultural sensitivity, ethics, and equity in the community and healthcare setting must all be considered while proposing a solution to the current financial issue of acquiring inexpensive health insurance.
The former is cultural sensitivity because different communities and cultures have different ideas and ways of providing healthcare (Georgetown University, 2019). As an illustration, when a public option is being implemented, it is crucial to consider how the program is advertised and presented to ensure that it is both accessible and culturally acceptable.
Adoption of any healthcare solution must take ethics into consideration. Certain social groups shouldn’t be subjected to discrimination by the suggested remedy. The impact that the Medicaid expansion has on those who are most at risk, such as those with chronic illnesses or
impairments, should be taken into account. The business case for change in healthcare practices.
is strengthened by applying ethics to other areas, such as patient autonomy, informed consent, privacy, and confidentiality.
According to Hall (2020), health equity will entail equal access and cost distribution for all members of society. This involves ensuring that everyone in the community can afford basic medical care and that the cost of healthcare is kept within reasonable bounds. Consequently, when healthcare insurance is introduced as a public option, greater attention will be paid to ensuring that deductibles and premiums are still within the means of low-income individuals and households.
Finally, a solution to the economic problem of cheap access to health insurance should take into account cultural sensitivity, ethics, and equity of access and cost. This covers cultural values, ethical behavior, and fairness that are affordable and available to all members of society. In this way, there will be a chance for health equity, and everyone in a community will have a better chance of receiving the necessary medical care.
Conclusion
Access to physician coverage is an issue for individuals, businesses, and society as a whole, according to NHS FPX 6008 Assessment 3. Its solution must be realistic, equitable, and sensitive to cultural and moral limitations. Examples of measures that will reduce financial stress, improve access to health care, and simply make it easier for everyone to get the goods and services include Medicaid expansion, public health coverage, and decreasing the cost of prescription drugs.
References
Agency for Healthcare Research and Quality. (2021). Developing and implementing a risk management plan: AHRQ patient safety network. AHRQ.gov. https://psnet.ahrq.gov/primer/developing-and-implementing-risk-management-plan
Auditboard. (2021, February 18). 10 Types of risk management strategies to follow in 2021. Www.auditboard.com. https://www.auditboard.com/blog/10-risk-management-strategies-2021/
Campbell, A. L., & Shore-Sheppard, L. (2020). The social, political, and economic effects of the Affordable Care Act: Introduction to the issue. RSF: The Russell Sage Foundation Journal of the Social Sciences, 6(2), 1–40. https://www.jstor.org/stable/10.7758/rsf.2020.6.2.01
Carney, K. J. L. (2020). Practitioner application. Journal of healthcare management, 65(1), 71–72. https://doi.org/10.1097/jhm-d-19-00237
Georgetown University. (2019). Cultural competence in health care: Is it important for people with chronic conditions? – Health Policy Institute. Health Policy Institute; Georgetown University. https://hpi.georgetown.edu/cultural/
Graves, J. A., Hatfield, L. A., Blot, W., Keating, N. L., & McWilliams, J. M. (2020). Medicaid expansion slowed rates of health decline for low-income adults in Southern States. Health Affairs, 39(1), 67–76. https://doi.org/10.1377/hlthaff.2019.00929
Karpman, M., Coughlin, T. A., & 2021. (2021, April 6). Declines in uncompensated care costs for the uninsured under the ACA and implications of recent growth in the uninsured rate. KFF. https://www.kff.org/uninsured/issue-brief/declines-in-uncompensated-care-costs-for-the-uninsure d-under-the-aca-and-implications-of-recent-growth-in-the-uninsured-rate/
KFF. (2019, March 15). KFF Health Tracking Poll – February 2019: Prescription Drugs. The Henry J. Kaiser Family Foundation. https://www.kff.org/health-costs/poll-finding/kff-health-tracking-poll-february-2019-prescription-drugs/
King, J. S. (2020). Covid-19 and the need for health care reform. New England Journal of Medicine, 382(26). https://doi.org/10.1056/nejmp2000821
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