With Overhaul of Affordable Care Act Derailed, Rising Prices Becomes the Most Critical Issue Facing U.S. Healthcare Industry, MUFG Says

By a News Reporter-Staff News Editor at Obesity, Fitness & Wellness Week -- Following the recent inability of the U.S. Congress to overhaul the Affordable Care Act (ACA), the most critical issue facing the nation's healthcare system is soaring prices, according to Allen Fisher, Global Head of Healthcare Banking at Mitsubishi UFJ Financial Group, Inc. (MUFG) (see also MUFG Union Bank, N.A.).

Mr. Fisher cited three reasons for rapidly rising healthcare prices: uncertainties related to the federal government's healthcare policy, the high costs associated with the current U.S. opioid crisis; and increased Medicare spending as Americans live longer lives.

He made his remarks on September 28 in New York during a session of MUFG Explores, an issues-oriented series in which MUFG subject matter experts meet with journalists to discuss newsworthy topics and trends. Andreas Dirnagl, Global Head of MUFG's Healthcare Strategic Research, joined Mr. Fisher as a co-host for the event.

"As healthcare prices continue to climb, countless Americans will struggle to find adequate treatment - a situation that is particularly troubling given the decreased amount of funding the ACA receives from the federal government," said Mr. Fisher. "Further, when you factor in how expensive it is to fight the expanding opioid-addiction crisis, in addition to the costs associated with an aging population, it's clear that suitable, affordable healthcare will not be available to many of those who need it most."

One way to reduce costs and raise revenues, he added, is to increase access to walk-in clinics, urgent care facilities, and wellness centers.

"By decentralizing the care provided away from expensive hospitals, people are able to get more care, more often - that is why we need to focus on wellness care," said Mr. Fisher. "The United States is terrific in dire situations, such as cardiac and orthopedic surgeries - these operations are complex and highly profitable for hospitals. What we aren't so good at is prenatal care and preventative medicine."

Keywords for this news article include: Hospital, Politics, MUFG Union Bank N.A..

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