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Financial Management in Healthcare

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Financial Management in Healthcare

Insurance coverage is one of the critical aspects influencing access to healthcare services.

In the U.S., most people are covered by employer-sponsored health insurance. According to the

2020 data, around 66 percent of the U.S. population was covered by private insurance, compared

to around 35.7 percent under government-sponsored coverage (Rehman et al., 2022). However,

around 8.6 percent of the population did not have insurance coverage. Despite this, numerous

factors influence healthcare access and insurance coverage over time. The influential factors

have been changing in response to emerging healthcare trends (Rehman et al., 2022). The current

and future trends in healthcare will significantly affect insurance coverage approaches and

experiences of insurance organizations such as Blue Cross Blue Shield (BCBS) and United

Healthcare and ultimately on access to quality healthcare services. In this regard, this paper

explores the current and future healthcare trends and their impacts on insurers’ experiences and

coverage approaches.

Current Healthcare dynamics

The first notable current trend in the U.S. healthcare sector is the consistent spiraling of

costs. One of the contributing factors is the aging population in the country which has led to an

increase in the number of people being treated for illnesses common during old age. At the same

time, healthcare services supply has been growing at a different rate due to staff shortages (Niles,

2023). The higher demand has contributed to the increase in healthcare costs. Also, healthcare

organizations have been investing in new technologies and treatment or intervention approaches

that are costly (Niles, 2023). Such factors have contributed to the rise in healthcare costs. Other

factors include the increase in the prices of prescription drugs and administrative complexities.
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The adoption of new technologies is thus another remarkable trend in healthcare. For

instance, most healthcare providers have invested in digital technologies that facilitate telehealth

services (Rehman et al., 2022). The technologies also facilitate effective treatment and

improvement in communication and healthcare conditions management. In addition, healthcare

organizations have been shifting toward a value-based care approach. In the past, they have

adopted the free-for-service strategy, whereby the focus has been to bill the client for all the

healthcare services offered separately (Rehman et al., 2022). The approach has been contributing

to the increase in healthcare costs. The main focus of the value-based care approach is offering

comprehensive services with optimal quality that can be billed together.

Also, the treatment of mental health problems has been increasing significantly since the

emergence of COVID-19. Many people have developed or increased mental health problems that

require treatment (World Health Organization, 2022). However, the providers' focus on offering

personalized or customer-centric care has been increasing. The trend has contributed to an

increase in the focus on offering quality care. Last, recent regulatory and policy changes by the

government authorities have significant implications for the healthcare sector (World Health

Organization, 2022). For instance, the Affordable Care Act (ACA) led to the development of

insurance coverage for the elderly, disabled, and the poor through programs such as Medicare

and Medicaid (Rehman et al., 2022). Such coverages have significantly enhanced access to

healthcare by vulnerable groups.

Changes that will Affect Healthcare

Some of the current trends are expected to continue and affect healthcare insurance

coverage in the future. For instance, more technologies are still emerging, likely to create

opportunities for better interventions (Niles, 2023). At the same time, however, they might lead
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to a continuous increase in healthcare costs. At the same time, the emphasis on quality rather

than quantity in healthcare healthcare will likely continue. The sensitivity of healthcare costs is

also expected to increase (Niles, 2023). People will likely expect quality healthcare services

based on the costs they incur in the healthcare intervention processes. Thus, there is likely an

increase in the focus on value-based care in the future and reduced adoption of the free-for-

service approach (Niles, 2023). The recognition of mental health problems as healthcare issues

requiring adequate treatment/interventions is also expected to increase. Thus, more people are

expected to seek insurance coverage for mental health in the future. The government authorities

are also expected to make regulations and policies to expand access to healthcare in the future

(Niles, 2023). Thus, more people will likely be under government-sponsored insurance coverage.

Future of Healthcare concerning BCBS

Current and future healthcare trends in healthcare will significantly impact the BCBS.

The BCBS is a group of private organizations that offer health insurance coverage throughout the

U.S. Currently, BCBS has 34 partner companies (Glassman et al., 2023). One of the potential

impacts of the current and future healthcare trends for BCBS is an increase in the strength of the

partnerships (Glassman et al., 2023). The member companies will likely devise new and better

strategies for offering healthcare insurance to enhance the organization's strength. The member

companies are likely to share responsibilities to facilitate improvement in their services (Niles,

2023). Second, BCBS will likely increase its effort to compel healthcare providers to offer value-

based care instead of adopting a free-for-service approach to reduce costs. The organization is

also likely to push healthcare providers to eradicate other aspects contributing to cost increment,

such as administrative inefficiencies (Niles, 2023). Thus, the body will likely hold the healthcare

organizations more responsible for their services.

At the same time, BCBS is likely to increase partnerships with healthcare organizations

to facilitate smooth services for Americans with insurance coverage. The partnership will also

enhance billing and healthcare cost transparency (Glassman et al., 2023). Despite the emergence

of government-sponsored insurance programs, BCBS is likely to increase its coverage of critical

and chronic illnesses (Glassman et al., 2023). BCBS will also need to adopt emerging

technologies to make its services more effective and accessible to Americans. For instance,

organizations should expand their coverage to telehealth services. The organization should brace

for the competition emerging from government-sponsored insurance programs such as Medicare

and Medicaid (Glassman et al., 2023). Based on the expected trends, BCBS should expand its

insurance coverage to cover mental health treatment services costs. Last, BCBS should adhere to

government regulations and policies that might be introduced.

Future of Healthcare with regard United Healthcare

The current and future healthcare trends have almost similar impacts on United

Healthcare as the BCBS. United Healthcare is one of the largest insurers in the U.S. The

company is a subsidiary of UnitedHealth Group and offers its services throughout the U.S. (Sen

et al., 2022). One of the potential impacts of the current and future healthcare trends is that they

might compel United Healthcare to expand its services beyond the United States. The approach

will enable it to hedge against the impacts of competition from emerging government-sponsored

insurance programs (Niles, 2023). Like BCBS, United Healthcare will likely increase its efforts

to push healthcare providers to offer value-based care. The organization is also likely to enhance

partnerships with healthcare providers and insurers. At the same time, United Healthcare will

need to expand its insurance coverage to include services offered to treat mental health problems

(Niles, 2023). Thus, diversification should be one of the company's goals in the future to
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facilitate its competitiveness. Lastly, United Healthcare should invest in emerging technologies

to improve its services and enhance interaction and communication with healthcare providers.

Biblical Foundations

The above arguments have several biblical foundations. One of the most relevant

foundations is the scriptures in Luke 10:25-37. In the scripture, Jesus emphasized the need for

people to love and care for their neighbors as they do for themselves (English Standard Version

Bible, 2001, Luke 10:25-37). He emphasized the need for compassion for people in dire need.

Jesus described a scenario of a person who was bitten and stripped by robbers and left on the

roadside half-dead. The first person to see the half-dead individual was a priest who passed and

did not give any help. The second, a Levite, also saw a person on the roadside and also passed

without offering any help (English Standard Version Bible, 2001, Luke 10:25-37). The third, a

Samaritan, was piteous and, thus, gave the beaten man first aid, took him to an inn, and paid for

his care and treatment. Thus, the Samaritan expressed compassion, support, and care for the

needy person (English Standard Version Bible, 2001, Luke 10:25-37). Similarly, healthcare

insurers should offer services that facilitate care and support for the patients. Their support for

value-based care instead of free-for-service approaches is meant to reduce the healthcare burden

to the patients and their relatives. Also, health insurance coverage is meant to enable Americans

to receive healthcare even when they do not have all the funds required for treatment. Thus, the

healthcare insurers express compassion, pity, and care like the Samaritan in their recent

strategies. Also, Galatians 6:2 is relevant, which emphasizes the need for people to share burdens

and support each other. The insurance coverage provides an opportunity for people who do not

have health problems to share burdens with those who have (English Standard Version Bible,

2001, Galatians 6:2). Last, 1 Corinthians 4:2 is relevant since it emphasizes the need for
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faithfulness when trusted with stewardship (English Standard Version Bible, 2001, 1 Corinthians

4:2). The insurers are similar to stewards who should express faithfulness by fulfilling their

agreements with patients requiring coverage for costs incurred during healthcare.

Conclusion

Overall, healthcare insurance is of paramount importance to all people. Thus, the services

offered by insurers such as BCBS and United Healthcare are important since they facilitate

access to healthcare. Despite this, their services are significantly influenced by various healthcare

dynamics. Thus, the current and future healthcare trends impact the services offered by

organizations such as BCBS and United Healthcare. As explained, their services have biblical

foundations.

References

English Standard Version Bible. (2001). ESV Online. https://esv.literalword.com/

Glassman, J. R. et al. . (2023). Caring for People With Depression: Costs Among 43 Million

Commercially Insured Patients With or Without Comorbid Illnesses. Annals of

Behavioral Medicine, 57(5), 380-385.

https://doi.org/10.1093/abm/kaac063
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Niles, N. J. (2023). Basics of the U.S. health care system. Jones & Bartlett Learning.

Rehman, A., Naz, S., & Razzak, I. (2022). Leveraging big data analytics in healthcarehealthcare

enhancement: trends, challenges and opportunities. Multimedia Systems, 28(4), 1339-

1371.

Sen, A. P. et al. (2022). Participation, pricing, and enrollment in a health insurance “public

option”: evidence from Washington State's Cascade Care Program. The Milbank

Quarterly, 100(1), 190-217. https://doi.org/10.1007/s00530-020-00736-8

World Health Organization (2022). Bending the trends to promote health and well-being: a

strategic foresight on the future of health promotion. World Health Organization.