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- Daily Industry Report - October 15
Daily Industry Report - October 15
Your summary of the Voluntary and Healthcare Industry’s most relevant and breaking news; brought to you by the Health & Voluntary Benefits Association®
Jake Velie, CPT | Robert S. Shestack, CCSS, CVBS, CFF |
5 worst states for obesity
By Allison Bell - The past few years have been hard on Americans' ability to control their weight. About 34.2% of the working-age Americans in a typical state were classified as obese in 2023. Read Full Article… (Subscription required)
HVBA Article Summary
Rising Obesity Rates: The median obesity rate for adults ages 18-64 rose from 30.8% in 2018 to 34.3% in 2023, with some states seeing increases of over 5 percentage points.
Geographical Differences: Obesity rates range from under 25% in states like Colorado to over 40% in six states, showing wide regional disparities.
Economic and Health Costs: Rising obesity drives $480 billion in extra medical costs and $1.2 trillion in productivity losses, partly due to expensive treatments like Wegovy.
HVBA Poll Question - Please share your insightWith over 2.5 million workplace violence incidents annually, costing businesses $250 billion, are you aware of affordable workplace violence insurance programs that protect employees, similar to voluntary accident benefits but with higher payouts? |
Our last poll results are in!
27.49%
of Daily Industry Report readers who participated in our last polling question, when asked what they “think is the most important step to improve healthcare cybersecurity?“ responded with “implementing organization-wide cybersecurity training for all employees.”
25.49% believe the most important step to improve health cybersecurity is “ensuring new technologies are built with a security-first approach,” while another 23.84% said “increasing investment in cybersecurity tools and infrastructure,” and 23.18% feel it to be “recruiting cybersecurity leaders with diverse, non-healthcare experience.”
Have a poll question you’d like to suggest? Let us know!
Buyers of digital health plan to up their investment next year, survey finds
By Emma Beavins - Healthcare purchasers are investing more in digital health technologies and are committed to growing the space, according to a survey from the Peterson Health Technology Institute (PHTI), an independent reviewer of digital health technologies. Read Full Article….
HVBA Article Summary
Rising Digital Health Budgets: 75% of organizations have increased their digital health budgets in the last two years, focusing on cost savings, better outcomes, and improved access.
Top Purchasing Criteria: A proven track record is the key factor for selecting digital health tools, with many targeting diabetes, mental health, and primary care.
Short Contract Terms: Most digital health contracts last 1-2 years, limiting the time to demonstrate value, with reviews happening annually for most employers and payers.
CVSHealth Eyes Breakup: A Reckoning for Corporate Health Care's Vertical Empire
By Wendell Potter - In a surprising turn of events, sources say that CVS Health is exploring the possibility of breaking up its business empire — a move that could unravel years of aggressive vertical integration, including its $70 billion acquisition of health insurer Aetna back in 2017. Read Full Article…
HVBA Article Summary
Overexpansion and Inefficiencies: CVSHealth's rapid acquisitions have led to rising costs and operational complexity, causing inefficiencies and investor concerns.
Regulatory and Financial Struggles: CVS faces FTC scrutiny over Caremark and financial setbacks, prompting leadership changes and talk of a potential breakup.
Broader Industry Impact: CVS’s potential split highlights wider challenges in healthcare, signaling a possible shift away from mega-mergers as other companies face similar issues.
Major IV provider B. Braun ‘intact’ after Hurricane Milton
By Caroline Catherman - The US is struggling to address a yearslong IV supply shortage following two back-to-back hurricanes. Read Full Article…
HVBA Article Summary
B. Braun Operations Intact: B. Braun's Daytona Beach IV facility remained unaffected by Hurricane Milton and will resume operations as scheduled.
Proactive Measures: B. Braun, with federal assistance, moved IV supplies to a secure location and continues working with federal agencies to ensure supply continuity.
Nationwide IV Shortages: Following Hurricane Helene’s impact on Baxter's North Carolina site, hospitals are facing widespread IV fluid shortages, with 86% reporting supply issues.
CBO: Covering anti-obesity drugs could cost Medicare $35B by 2034
By Paige Minemyer - Allowing Medicare to cover anti-obesity medications would drive up federal spending by about $35 billion on net between 2026 and 2034, according to a new report from the Congressional Budget Office (CBO). Read Full Article…
HVBA Article Summary
Rising Costs: CBO projects federal costs for anti-obesity medications will rise from $1.6 billion in 2026 to $7.1 billion by 2034, while savings will be modest, growing from $50 million to $1 billion.
Limited Usage: Of the 12.5 million Medicare beneficiaries eligible for the drugs in 2026, only 2% (300,000) are expected to use them, increasing to 14% (1.6 million) by 2034.
Cost vs. Savings: The government will spend $5,600 per user in 2026, dropping to $4,300 in 2034, but savings will start at $50 per user and grow to $650 by 2034.
Pet benefits: A solution to rising pet care costs and employee stress
By Michael Popke - Just as three-quarters of working parents report missing work to attend to the needs of their children, a nearly equal percentage of working pet owners are doing the same for their dogs and cats. Read Full Article… (Subscription required)
HVBA Article Summary
Pet Care and Work Disruptions: Wagmo’s survey shows 75% of U.S. employees with pets have missed work due to pet issues, and 65% feel distracted when their pets are sick or injured, affecting productivity.
Cost of Pet Care: 57% of pet owners spent over $1,000 on pet care last year, with high veterinary costs as a major challenge. Pet insurance and wellness plans are common, but only 24% have both.
Pet Benefits in Employment: 65% of working pet parents consider pet-related benefits important in job decisions. Employers are increasingly offering these benefits to attract and retain talent.
Why GLP-1s might treat a plethora of conditions
By Paige Tweeter - Hundreds of clinical trials are researching how drugs like Ozempic and Mounjaro affect a plethora of conditions, Nature reported Sept. 25. Read Full Article…
HVBA Article Summary
Expanding Uses of GLP-1 Drugs: GLP-1 medications, originally approved for diabetes and weight management, are being studied for conditions like anxiety, Alzheimer's, and cancer, with some promising trial results.
How GLP-1 Works: These drugs regulate insulin, blood sugar, appetite, and digestion, making them relevant for treating multiple conditions, from diabetes to addiction, based on their biological actions.
Inflammation and Brain Effects: GLP-1s reduce inflammation, potentially benefiting diseases like kidney disease and Alzheimer's, though their full impact on the brain is still being explored.