|
Editor's Note: Below is a complimentary Health Policy Unplugged note written yesterday by our Health Policy analyst Emily Evans. Click HERE to learn more about Emily's research process and the analysis subscribers receive. |
The unique thing about this wave of COVID-19 is the way in which hospital capacity has expanded to meet demand for both COVID and Non-COVID patients.
Under normal conditions a hospital operates at about 70% capacity. The American health care system is good but it is also very inefficient.
Throughout the outbreaks in the spring and summer, non-COVID utilization dropped into the mid-60% as procedures were delayed, accidents didn't happen and care demand moved to other platforms like urgent care centers.
The time for delaying care has come to an end. Over the weekend Broward Health was reporting high occupancy in part due to COVID but also "acutely ill" individuals whose conditions had been neglected.
Currently inpatient occupancy in Florida is an almost unheard of 83%. This trend is expected to endure as the backlog continues to accumulate with each outbreak.
The implications for HCA and THC are positive as more acute conditions have higher unit prices. AMN will continue to have a role shift labor supply around the country.
On the flipside, this time around insurers are not going to benefit from delays in care to offset COVID expenditures.
Of course testing is having a resurgence as we anticipated.
