The chamber hosted Ridgeview’s President and CEO, Mike Phelps, on August 7^th to provide healthcare updates to its members.  Mike first highlighted the Ridgeview organization – its facilities and services it provides and opportunities for its future.  He then gave a “state of healthcare” type discussion and presentation that really highlighted the issues facing medical providers and all of us that use them.  Healthcare providers receive a large amount of their revenue from the government – these payments typically do not cover costs for the services they provide and future Medicare payments in the future have a proposed 3.4% decrease.  In 2022, Twin Cities hospital systems reported $425m in losses.

Healthcare is also dealing with more regulatory requirements, workforce shortages and increasing costs.  He also discussed the organizations involved in providing services from insurance companies to pharmacies and the business involved with those.  He sees that the future will have more pressure on transparency in healthcare and a push to reduce waste even more.  Rural hospitals will be at a significant risk.  In 2022, the combined revenue of the nine biggest middlemen (insurance etc.)—call them big health, equated to around 45% of America’s health-care bill, up from 25% in 2013. Four pharmacy giants generate 60% of America’s drug-dispensing revenues.

On the more positive side he highlighted that MN health systems still outperform and ranked number 1 overall in national rankings, second in cost rankings, sixth in access and 11^th in outcomes.  Minnesota has the fourth-lowest average out-of-pocket medical spending and the sixth-lowest average monthly insurance premium.  Only 3.8% of MN are without health insurance.

Members asked questions related to the future of healthcare, services provided, what could be done to fix the issues, make the system better and place healthcare providers in a better place to be successful in the future.  The healthcare sector will be on to watch in the future to see what can be done to strengthen and support the medical providers.

Full Video: https://youtu.be/2Ibj927t5t0?feature=shared