Today's News and Commentary

Today is the 11th anniversary of the ACA.

For a recap on its impact, read:
11 Years On, the Affordable Care Act Defies Opponents and Keeps Expanding

About Covid-19

AstraZeneca vaccine faces another setback after independent board questions trial data:
”On Tuesday, an independent review board of experts appointed by the National Institutes of Health said the British-Swedish pharmaceutical company may have only used partial data when it announced the results from its vaccine trial…
The company said it would “immediately engage” with health officials to discuss the most up-to-date efficacy data and promised a more detailed analysis within 48 hours of the vaccine it developed with Oxford University.”

IDSA updates treatment guidance for COVID-19, including monoclonal antibodies: “The Infectious Diseases Society of America has updated its treatment guidelines for COVID-19 for several therapies, including tocilizumab, ivermectin and bamlanivimab with etesevimab.
After an assessment of eight randomized trials, the guideline panel now recommends that tocilizumab should be used in hospitalized patients who are sick enough to have progressive, severe or critical COVID-19.”

Women's Experiences with Health Care During the COVID-19 Pandemic: Findings from the KFF Women's Health Survey: A really good summary of this topic from the KFF. “Women are more likely to have gone without health care during the pandemic compared to men, and women with health and economic challenges prior to the pandemic have experienced worsening health conditions as a result of skipping health care services during the pandemic.”

Regeneron and Roche's antibody cocktail shown helping in COVID-19 cases: “New late-stage trial data show Regeneron and Roche’s antibody cocktail against COVID-19 cut hospitalisation or death by 70% versus a placebo in non-hospitalised patients, the Swiss drugmaker said on Tuesday.
The shot, consisting of casirivimab and imdevimab antibodies developed by Regeneron with financial help from the U.S. government, also met all key secondary endpoints in the phase III trial with 4,567 participants, including reducing symptom duration to 10 days from 14, Roche said.”

About healthcare technology

Alexa, do I have an abnormal heart rhythm? UW researchers use AI and smart speakers to monitor irregular heartbeats: “Researchers at the University of Washington have developed a form of contentless monitoring, allowing smart speakers to identify and monitor individual heartbeats using sonar technology. Machine learning (ML) makes this technology possible. The UW researchers published the findings on March 9 in the journal Communications Biology.”

About pharma

Post-Visit Patient Understanding About Newly Prescribed Medications: “Many patients correctly identified information related to directions for taking a newly prescribed medication, even without physician counseling, but when physicians failed to convey potential medication side effects, many assumed that a medication had no side effects. It may be sufficient for physicians to provide written information about medication directions and dosing, and tailor their limited time to discussing medication side effects.”

Democrats see a pathway for their ambitious drug pricing bill: “For example, a bipartisan group of senators are releasing a bill today that requires drug manufacturers to disclose and provide more information about planned drug price increases, [emphasis in the original] including research and development costs. 
It would require manufacturers to notify HHS 30 days before they increase the price of certain drugs. The requirement would apply to drugs costing at least $100, whose prices are increasing by more than 10 percent in one year or 25 percent over three years. Manufacturers would have to provide a justification for each price increase.”

About health insurance

DOJ Asks for Clean Slate or Clarity in Medicaid Work Rule Fight: The high court canceled oral argument but justices could still hear case…
”The court should clarify in any ruling on the merits that the Health and Human Services Secretary can allow states to try out new measures—like alternative ways to deliver care—that indirectly advance Medicaid’s main goal of providing low-income people health insurance, the Justice Department said in a brief Monday.”

About healthcare professionals

Estimated Effect on Life Expectancy of Alleviating Primary Care Shortages in the United States: “Persons living in counties with less than 1 physician per 3500 persons in 2017 had a mean life expectancy that was 310.9 days shorter than for persons living in counties above that threshold. In the low-density counties (n = 1218), increasing the density of PCPs above the 1:3500 threshold would be expected to increase mean life expectancy by 22.4 days (median, 19.4 days [95% CI, 0.9 to 45.6 days]), and all such counties would require 17 651 more physicians, or about 14.5 more physicians per shortage county.”
Past studies on thresholds for health professional/population ratios and per capital health spending tend to show that below a certain threshold, healthcare declines. However, above those cutoffs, the returns rapidly diminish. Such studies like this one need to take into account the structure and availability of the healthcare systems as well as per capita spending before making blanket recommendations about essential targets for personnel.

Today's News and Commentary

HHS delays effective date of controversial sunset rule to 2022 in response to lawsuit: “The Department of Health and Human Services (HHS) has delayed the effective date of a controversial rule that calls for the agency to review more than 17,000 regulations until 2022.”

About Covid-19

Covid cases are rising in 21 states as health officials warn against reopening too quickly: “The 7-day moving average of new infections plateaued at 54,666 as of Friday after declining for weeks, according to a CNBC analysis of data from Johns Hopkins University.”

AstraZeneca US trial shows 79% efficacy against Covid: “AstraZeneca’s US clinical trial of its Covid-19 vaccine developed with Oxford university has shown 79 per cent efficacy at preventing symptomatic disease and 100 per cent efficacy against severe or critical disease and hospitalisation. The results are similar to those from other Covid-19 vaccines made by Pfizer and Moderna, said Sarah Gilbert, professor of vaccinology at Oxford and co-designer of the vaccine.”

FDA authorizes first AI-powered armband for COVID-19 screening: “Tiger Tech Solutions’ wearable monitor is strapped to the upper arm and uses light sensors to sense blood flow, similarly to many consumer electronics and fitness trackers. Within three to five minutes, it uses an artificial intelligence model to crunch the data on the person’s pulse rate and other factors to determine whether their blood could be clotting more easily than normal.
This state of hypercoagulation, among other signs, has been linked to coronavirus infections—and, when combined with temperature checks, it could help spot people over the age of 5 who are carrying the virus without showing any symptoms. “

Fauci: COVID-19 variant likely accounts for up to 30 percent of US infections: “Fauci specifically sounded the alarm at a White House press conference Friday over the B.1.1.7 variant, which was first discovered in the United Kingdom and has since spread across the globe.”

FDA Warns of Misleading Registration Certificates for COVID-19 Devices: “The FDA is taking action against devicemakers that have been touting phony FDA registration certificates which give the false impression their products have received the agency’s clearance…
The FDA’s Office of Regulatory Programs has sent letters to 25 manufacturers, distributors and sellers, telling them to stop producing and issuing these false certificates.”

COVID-19 antibodies can effectively last for at least nine months: Chinese study in Lancet: “Study results published in The Lancet suggest that 40% of COVID-19 patients in China's Wuhan, Hubei province have the neutralising COVID-19 antibodies that can effectively last for at least nine months…”

About hospitals and health systems

Hospitals Hide Pricing Data From Search Results: “Hospitals that have published their previously confidential prices to comply with a new federal rule have also blocked that information from web searches with special coding embedded on their websites, according to a Wall Street Journal examination.
The information must be disclosed under a federal rule aimed at making the $1 trillion sector more consumer friendly. But hundreds of hospitals embedded code in their websites that prevented Alphabet Inc.’s  Google and other search engines from displaying pages with the price lists, according to the Journal examination of more than 3,100 sites.
The code keeps pages from appearing in searches, such as those related to a hospital’s name and prices, computer-science experts said. The prices are often accessible other ways, such as through links that can require clicking through multiple layers of pages.”

14 Defendants Sentenced to 74+ Years in Forest Park Healthcare Fraud: “Fourteen defendants convicted in the Forest Park Medical Center bribery scam have been sentenced to a combined 74+ years in federal prison and ordered to pay a total of $82.9 million in restitution…
The $200 million scheme was designed to induce doctors to steer lucrative patients – particularly those with high-reimbursing, out-of-network private insurance – to the now defunct hospital.
Most of the kickbacks, which totaled more than $40 million, were disguised as consulting fees or ‘marketing money’ doled as a percentage of surgeries each doctor referred to Forest Park.”
About health insurance

House passes bill to stave off millions in Medicare sequester cuts: “The House passed a bill on Friday to extend the moratorium on 2% Medicare payment cuts caused by a federal budget sequestration and avert $36 billion in payment cuts triggered by the American Rescue Plan.
Legislators voted 246 to 175 to pass H.R.1868, which postpones Medicare sequester payment cuts until the end of the year and exempts the budgetary effects of the $1.9 trillion COVID-19 relief bill from the Statutory Pay-As-You-Go Act of 2010.”

New cost-cutting Medicare rule may add costs to patients: “For years, the Centers for Medicare and Medicaid Services (CMS) classified 1,740 surgeries and other services so risky for older adults that Medicare would pay for them only when these adults were admitted to the hospital as inpatients. Under the new rule, the agency is beginning to phase out that requirement. On Jan. 1, 266 shoulder, spine and other musculoskeletal surgeries were crossed off what is called the ‘inpatient-only list.’
By the end of 2023, the list — which includes a variety of complicated procedures including brain and heart operations — is scheduled to be gone.
CMS officials said the change was designed to give patients and doctors more options and help lower costs by promoting more competition among hospitals and independent ambulatory surgical centers. But they forgot one thing.
While removing the surgeries from the inpatient-only list, the government did not approve them to be performed anywhere else. So patients will still have to get the care at hospitals.”

States are eyeing public option health plans. Many obstacles stand in the way.: The article offers a really good analysis of state-sponsored public option plans- focusing on Washington state. One problem is: “The high premiums for the public option plan stemmed from a failure to cap payment rates to health-care providers…” It tried to pay providers based on Medicare fee schedules but : “Even with the higher rates, the state struggled to get health-care providers to agree to participate in the plan. That’s because hospitals are used to receiving much higher payments from private insurance plans than from Medicare — an average of 247 percent more…”
Also, “Opposition to public options is fierce.
The Partnership for America’s Health Care Future, an alliance of hospital, health insurance and pharmaceutical lobbyists, is spending $1 million to combat a plan in Colorado that would trigger the creation of a public option if the health-care industry cannot bring down costs on its own before 2024.”

About pharma

Americans Struggle to Afford Medications as COVID-19 Hits Savings and Insurance Coverage:”Prescription drugs are still unaffordable for many Americans. According to a new GoodRx survey, one in three Americans saw their out-of-pocket medication costs increase in 2020. Nearly 40% of people reported difficulty affording their prescription medications, and over 20% said they struggled to pay for basic necessities like food and shelter as a result.
Patients have responded to this lack of affordability by tapping into their savings, taking on more debt, and making potentially dangerous changes to their prescribed medication regimen.”

Biotech's top 10 money raisers of 2020: FYI: “In 2020, the biotech sector raised just under $20 billion, outstripping 2018 on every measure, except the total number of financing rounds.”

About healthcare IT

Clinical data sharing improves quality measurement and patient safety: “ A total of 15% of all quality measure calculations changed (P < .001) when including HIE data sources, affecting 19% of patients. Changes in quality measure calculations were observed across measures and organizations.
These results demonstrate that quality measures calculated using single-site EHR data may be limited by incomplete information. Effective data sharing significantly changes quality calculations, which affect healthcare payments, patient safety, and care quality.”

About healthcare professionals

Match Day 2021 largest on record: 6 notes: Among the stats:
”A record 48,700 people submitted applications for 38,106 open positions at residency programs — the most available in the program's history. Of these open positions, about 95 percent were filled…. 
A record 5,915 programs participated in Match Day, 88 more than last year….
Of the 35,194 positions available for first-year residents, about half were for primary care specialties like family medicine, internal medicine and pediatrics.”



Today's News and Commentary

About Covid-19

European countries resume use of AstraZeneca's COVID-19 vaccine, hoping pause has not dented confidence: “A dozen European countries [yesterday] said they will resume vaccinations with the AstraZeneca vaccine against COVID-19 after the European Medicines Agency (EMA) said its initial investigation of possible side effects has concluded the vaccine is ‘safe and effective.’ Their decisions came as a relief to many public health experts, who worried about long delays in the COVID-19 vaccination programs at a time when cases are increasing in much of Europe.”

U.S. plans to use real world and trial data to determine when vaccines need to be updated: “U.S. officials plan to use data gathered from people who have already been vaccinated against COVID-19 as well as data from ongoing clinical trials to determine when and whether current vaccines need to be updated to address viral variants.
Peter Marks, director of the Food and Drug Administration’s Center for Biologics Evaluation and Research, said in a hearing on Wednesday that his agency has already started getting data on vaccine safety from surveillance systems.
Those systems have been set up to gather reports of vaccine side effects from individuals and physicians and are managed in partnership with the FDA and the U.S. Centers for Disease Control and Prevention.”

About the public’s health

Assessment of the Appropriateness of Antimicrobial Use in US Hospitals: “In this cross-sectional study of 1566 patients at 192 hospitals, antimicrobial use deviated from recommended practices for 55.9% of patients who received antimicrobials for community-acquired pneumonia or urinary tract infection present at admission or who received fluoroquinolone or intravenous vancomycin treatment…
The findings suggest that standardized assessments of hospital antimicrobial prescribing quality can be used to estimate the appropriateness of antimicrobial use in large groups of hospitals.”
What can we do to assure better compliance? Seems to need some “hard wiring,” like automatic pharmacist/infectious disease review.

HHS Tells Supreme Court It Will End Abortion 'Gag Rule': “The U. S. Department of Health and Human Services unveiled its timeline Thursday for officially rolling back the Trump administration's ‘gag rule’ prohibiting physicians from referring patients to abortion providers, telling the U. S. Supreme Court that it plans to propose new rules by mid-April.”

Today's News and Commentary

Calif. AG Wins Senate Confirmation To Lead HHS: “Thursday's 50-49 vote was among the closest in recent years for an HHS secretary. It came on the heels of Republican opposition focused largely on abortion, religious freedom and doubts about the attorney general's health care chops. Sen. Susan Collins, R-Maine, was the only Republican to vote in favor of confirmation.”

About Covid-19

Trump urges all Americans to get COVID vaccine: 'It's a safe vaccine' and it 'works':  Announced (where else?) on a Fox News interview. We will see if it makes a difference among the large number of Republicans who refuse to get vaccinated. 

FDA grants its first full approval to a COVID-19 diagnostic test: Yes, you read that correctly.
”For the first year of the pandemic, the FDA worked hard to make it clear that each green light it gave to a COVID-19 diagnostic test kit—over 340 to date—amounted to only an emergency authorization and not a full approval, meaning it had not been reviewed to its highest standards and could only be used for a limited time as the country fought off the pandemic.
Now, the agency has granted its first official endorsement, allowing a respiratory panel test from BioFire Diagnostics to be sold into the foreseeable future. 
The diagnostic is designed to screen deep nasal swab samples for multiple infections to help identify coronavirus cases among people with symptoms similar to the flu, respiratory syncytial virus and the bugs behind the common cold.”

FDA Orders Eli Lilly, Regeneron to Evaluate COVID-19 Antibody Cocktails Against Variants:”In a revision of its Emergency Use Authorizations (EUAs) for Eli Lilly’s and Regeneron’s antibody combination therapies for COVID-19, the FDA is requiring the companies to assess the therapies against the mutant strains of the SARS-CoV-2 virus.”

Thai sniffer dogs can detect COVID-19 in sweat, project showsFascinating!

Covid-19 antibodies present in about 1 in 5 blood donations from unvaccinated people, according to data from the American Red Cross: “Between mid-June 2020 and early March 2021, the American Red Cross tested more than 3.3 million donations from unvaccinated people in 44 states for the presence of Covid-19 antibodies. Overall, about 7.5% of the donations tested in that time frame were positive for Covid-19 antibodies, meaning the donors had likely been infected with the coronavirus at some point.”

European regulator says AstraZeneca's coronavirus vaccine is 'safe and effective' but link to rare blood clots cannot be ruled out: “Europe's medical regulator said Thursday that it believed AstraZeneca's vaccine was ‘safe and effective,’ but it could not rule out a link to highly unusual types of blood clots and said a warning would be added to the product.
Many of the countries in Europe that had paused the use of the Oxford-AstraZeneca vaccine — including Germany, France, Italy and Spain — announced they would resume Friday or early next week. Ireland said it would announce its decision on Friday and Sweden next week.”

CDC IDs new COVID-19 variants of concern as hot spots reemerge: “The Centers for Disease Control and Prevention (CDC) said two coronavirus variants first detected in California, B.1427 and B.1429, are now considered as variants of concern. The CDC said the variants may be 20% more transmissible.”

Pelican Diagnostics Receives CE Mark for COVID-19 Saliva Test: Canary Global’s company Pelican Diagnostics has earned the CE mark for its COVID-19 Ultra-Rapid Mobile Test, a saliva test that takes under two minutes.
The test kit is comprised of a handheld reusable digital reader and disposable testing cartridges that analyze spike and nucleocapsid proteins in saliva samples to detect the virus.”

Better Covid Vaccines Are Coming, WHO’s Chief Scientist Says: Six-to-eight new immunizations may complete clinical studies and undergo regulatory review by the end of the year, Soumya Swaminathan, the Geneva-based agency’s chief scientist, said in an interview Saturday…
The current crop of experimental vaccines use alternative technologies and delivery systems, and include more single-shot inoculations, and vaccines that are administered orally, via a nasal spray, and through the skin using a type of patch. These could bring immunizations that are better suited to specific groups, such as pregnant women, according to Swaminathan.” 

Of 300-plus imaging-based AI models for COVID-19 diagnosis, zero suitable for clinical use“Out of more than 300 published machine learning models for detecting COVID-19 from chest images, zero passed a recent research review, experts detailed Monday in Nature.”

Pfizer execs discuss hiking vaccine price after pandemic wanes: Surprised?

Effectiveness of three versus six feet of physical distancing for controlling spread of COVID-19 among primary and secondary students and staff: A retrospective, state-wide cohort study: “Lower physical distancing policies can be adopted in school settings with masking mandates without negatively impacting student or staff safety.” 

Medicago Evaluates Plant-Derived COVID-19 Vaccine Candidate: “Medicago and GlaxoSmithKline (GSK) have launched a global phase 3 trial evaluating Medicago’s plant-derived COVID-19 vaccine candidate when combined with GSK’s pandemic adjuvant.” 
According to Medicago’s website: “We use a plant-based platform to develop our vaccines. This approach uses living plants as bioreactors to produce non-infectious versions of viruses (called Virus-like Particles, or VLPs). Learn more about our proprietary plant-based platform here.
VLPs mimic the native structure of viruses, helping them to be easily recognized by the immune system. However, they lack core genetic material which makes them non-infectious and unable to replicate.”

New Study Shows How Mutations in SARS-CoV-2 Allow the Virus to Evade Immune System Defenses: “The research, published March 16 in Cell, shows that a mutated SARS-CoV-2 from a chronically infected immunocompromised patient is capable of evading both naturally occurring antibodies from COVID-19 survivors as well as lab-made antibodies now in clinical use for treatment of COVID-19.
The patient case was originally described Dec. 3, 2020, as a New England Journal of Medicine report by scientists at Brigham and  Women’s Hospital  a few weeks before the U.K. and South African variants were first reported to the World Health Organization.”

Assessment of protection against reinfection with SARS-CoV-2 among 4 million PCR-tested individuals in Denmark in 2020: a population-level observational study: “We used a large national surveillance dataset [approximately 4 million individuals (69% of the population of Denmark)] of individually referable PCR test results to estimate the degree to which previous infection with SARS-CoV-2 results in protection against repeat infection. We found protection in the population to be 80% or higher in those younger than 65 years, but to be approximately 47% in those aged 65 years and older.”
This type of study can inform public health policy about whom should get priority for booster shots; however, as production gears up, nearly everyone will be able to get one.

About health insurance

MEDPAC’s 2021 Report to Congress on Medicare Payment PolicyAs usual, this annual report has a great analysis of the Medicare program with recommendations to Congress for the next year. Overall, the Commission recommends many cuts to the program. See Appendix A on page 481 for a brief summary of the recommendations.  

Biden administration begins throwing out Medicaid work rules: “Federal Medicaid officials on Wednesday sent letters to Arkansas and New Hampshire officials, informing them that the administration had formally scrapped the federal government’s permission for the states to mandate that some enrollees work, volunteer or attend school as a condition of coverage.”

Part D Payment Modernization Model Calendar Year (CY) 2022 Fact SheetSome key provisions include: “Based on stakeholder feedback and other considerations, CMS is not moving forward with two Model design changes discussed in the January 19, 2021 CY 2022 RFA: (1) the Part D Formulary Flexibilities, and (2) removal of downside risk for CY 2022. For CY 2022, the PDM Model will continue to test a modernized Part D payment structure in which participating Part D sponsors take two-sided risk for CMS’ federal reinsurance subsidy spending for participating plan benefit packages (PBPs), relative to their Spending Target Benchmark(s).”
Also, Part D sponsors have the opportunity “to implement several Part D programmatic flexibilities aimed at reducing out-of-pocket costs and improving the quality of care for beneficiaries.” 

Humana introduces CenterWell brand for payer-agnostic healthcare offerings: “Health insurer Humana announced a new brand this week, CenterWell, which encompasses and connects a range of the company's payer-agnostic healthcare services offerings. The first Humana-owned care services to adopt the new brand will be its senior-focused primary care facilities that have operated as ‘Partners in Primary Care’ in several states and as ‘Family Physicians Group’ in the Orlando area.
The move comes as Humana is pushing to expand its healthcare services capabilities, from primary care and pharmacy to home care, to strengthen its payer-agnostic portfolio. The new CenterWell brand will unite these services.”
Is Humana mimicking United’s Optum? 

Highmark Makes a $220M Impact in the Fight Against Healthcare Fraud, Waste and Abuse in 2020 “Highmark’s Financial Investigations and Provider Review (FIPR) department generated more than $220 million in savings related to fraud, waste and abuse in 2020, and has made a cumulative financial impact of nearly $1.1 billion in such activity since 2015. By deploying sophisticated artificial intelligence programs and partnering with health systems, public health officials, law enforcement and other health stakeholders, FIPR is protecting Highmark customers and ensuring health care dollars are spent on high-value care.
Highmark prevented significant fraud, waste and abuse across its lines of business in 2020. That includes nearly $130 million in savings related to employer-based health insurance, $50 million from the Blue Card program (which provides Highmark customers with access to national Blue Cross Blue Shield networks), $22 million from Medicare Advantage, $9 million from the Affordable Care Act marketplace, and $8 million from the Federal Employee Program.”

Primary Care First Model Options: From CMS: “The practice solicitation period for PCF Cohort 2 opened on March 16, 2021 and will close on April 30, 2021. The payer solicitation period for PCF Cohort 2 began on March 16, 2021, and will close on May 28, 2021.”

About pharma

US regulator signals "aggressive" new approach to pharmaceutical mergers: The US Federal Trade Commission (FTC) on Tuesday announced the formation of a working group, in collaboration with competition regulators in the EU, UK and Canada, to update how they review buyouts in the pharmaceutical industry amid concerns such deals may drive up drug prices or stifle innovation. Rebecca Kelly Slaughter, acting chair of the FTC, said ‘we intend to take an aggressive approach to tackling anticompetitive pharmaceutical mergers.’” 

Trends in fall‐related mortality and fall risk increasing drugs among older individuals in the United States,1999–2017: “The percent of persons who received at least one prescription for a fall risk increasing drug increased from 57% in 1999 to 94% in 2017 (p for trend <.0001).” Perhaps an electronic alert would be helpful; but with these percentages, massive education campaigns should also be instituted.

Judge halts 340B dispute rule, siding with Eli Lilly in lawsuit over program:  “The opinion, issued late Tuesday, grants a preliminary injunction sought by Eli Lilly, which sued the feds over the rule. The ruling comes as Lilly and several other drugmakers restricted sales of drugs discounted under the 340B program to contract pharmacies, which are third parties that dispense the products on behalf of the covered entities.
The ruling from the U.S. District Court for the Southern District of Indiana focused on whether the Department of Health and Human Services (HHS) followed federal law when the rule was finalized last December.
The decision puts on hold a key mechanism that hospitals, community health centers and other 340B providers had planned to use to challenge drug companies that restricted sales of discounted products to contract pharmacies.”

Purdue Pharma unveils $10bn opioid settlement plan to exit from bankruptcy: Purdue Pharma is proposing a $10bn plan to emerge from bankruptcy that calls for it to be transformed into a company funnelling profits into the fight against the opioid crisis.
Those efforts would include a significant boost – more than $4bn – from members of the Sackler family who own the Connecticut-based pharmaceutical giant…
Most of the parties in the case are onboard. But attorneys general representing 23 states and the District of Columbia issued a statement saying the offer ‘falls short of the accountability that families and survivors deserve’. They want more money from the Sackler family members and for Purdue to wind down in a way that ‘does not excessively entangle it with states’.”

Leading Children’s Hospitals and Phlow Corp. form an Unprecedented Coalition to Deliver Essential Medicines to Address Pediatric Drug Shortages: “Phlow Corp., a U.S.-based, public benefit corporation…, today joins in announcing the launch of a groundbreaking Children’s Hospital Coalition: Powered by PhlowTM (CHC). This first-in-kind coalition brings together some of the top children’s hospitals across the nation, in collaboration with Phlow, to provide certainty in availability and access for key medicines necessary to sustain life and conquer disease and to address the nation’s broken essential medicines supply chain.”

About healthcare IT

Companies of all sizes, including Amazon’s own workforce, will be able to access Amazon Care’s on-demand healthcare service, boosting workplace benefits for employees nationwide: This article was in many media outlets today, including the front page of the Wall Street Journal. Here is what Amazon’s website said (news media copied from it):
”The service enables employees to connect with medical professionals via chat or video conference… and eliminates lengthy wait and travel times to get medical attention. Amazon Care has two components: 1) virtual care, which connects patients to medical professionals via the Amazon Care app (available for both Android and iOS) and allows patients to quickly, conveniently, and confidently chat live with a nurse or doctor, via in-app messaging or video; and 2) in-person care, where Amazon Care can dispatch a medical professional to a patient’s home for additional care, ranging from routine blood draws to listening to a patient’s lungs, and also offer prescription delivery right to a patient’s door. Until now, Amazon Care has been exclusively available to Amazon employees and their families in Washington state. Today, Amazon is announcing that Amazon Care is available to serve other Washington-based companies. Additionally, beginning this summer, Amazon Care will expand its virtual care to companies and Amazon employees in all 50 states across the U.S. Finally, Amazon Care’s in-person service will expand to Washington, D.C., Baltimore, and other cities in the coming months. To learn more, visit www.amazon.care.

Who Is (and Isn't) Receiving Telemedicine Care During the COVID-19 Pandemic: “More than a 20-fold increase in the incidence of telemedicine utilization following March 13, 2020 was observed. Conversely, the incidence of office-based encounters declined almost 50% and was not fully offset by the increase in telemedicine. The increase in telemedicine was greatest among patients in counties with low poverty levels (β=31.70, 95% CI=15.17, 48.23), among patients in metropolitan areas (β=40.60, 95% CI=30.86, 50.34), and among adults compared with children aged 0–12 years (β=57.91, 95% CI=50.32, 65.49).”

FCC fines insurance telemarketers record $225M: “According to the commission, the robocalls were attempting to sell short-term, limited-duration health insurance plans. The calls falsely claimed to be selling health plans from commercial payers like Aetna, Blue Cross Blue Shield, Cigna and UnitedHealth Group.”

The Boom in Out-of-State Telehealth Threatens In-State ProvidersA year into the pandemic, telehealth has become widely accepted. Some states are now looking to make permanent the measures that have fueled its growth. But with it have come some unintended consequences, such as a rise in fraud, potential access problems for vulnerable groups and conflicts between out-of-state and in-state health providers.”
The article provides “real world” examples. 

Doctor On Demand, Grand Rounds combine to form multibillion-dollar digital health company: “Owen Tripp, CEO of Grand Rounds, will serve as the CEO of the expanded business. Both companies will continue to operate under their existing brands for the time being, officials said in a statement.
Doctor on Demand CEO Hill Ferguson will continue to run that side of the company and will join the board.
Terms of the transaction were not disclosed…
The combination of Doctor on Demand and Grand Rounds will combine Grand Rounds’ data-driven clinical navigation platform and patient advocacy tools with Doctor On Demand’s virtual care offering. It will accelerate the adoption of virtual care in key areas including primary care, specialty care, chronic condition management, and behavioral health, the companies said.”

CMS cuts 4 telehealth services accidentally added to Medicare coverage list: “CMS released a notice March 17 walking back four telehealth service codes that the agency said were inadvertently included on its final list because of technical errors….
Here are the four telehealth codes CMS removed: 

1. 96121: Neurobehavioral status exam by physician or other qualified health professional

2. 99221: Initial hospital care 

3. 99222: Initial hospital care 

4. 99223: Initial hospital care “

About healthcare professionals

NM High Court Says Med Mal Damages Cap Is Constitutional: The $600k cap on damages was held to be constitutional in the state. Different states have come to different conclusions with respect to whether malpractice limits for non-economic damages are constitutional.

About hospitals and health systems

Low Compliance From Big Hospitals On CMS’s Hospital Price Transparency Rule: “…we collected the price transparency files for the largest 100 hospitals in the US (by certified bed count) from late January 2021 to early February 2021 and sought to determine the extent to which these hospitals were complying with the regulation…
Of the 100 hospitals in our sample, 65 were unambiguously noncompliant. Of these 65,

  • 12/65 (18 percent) did not post any files or provided links to searchable databases that were not downloadable.

  • 53/65 (82 percent) either did not include the payer-specific negotiated rates with the name of payer and plan clearly associated with the charges (n = 46) or were in some other way noncompliant (n = 7).

Of the remaining 35 hospitals in our sample, at least 22 hospitals appeared to be compliant and certain hospitals clearly exceeded the regulations in terms of the amount of information they shared.”

California hospital must pay charity care costs, appellate court rules: The ACA reduced the uninsured population, so hospitals are wondering if they still have the same charity care requirements in their states/localities. This appeals court said they do.

About the public’s health

New diabetes guidelines lower screening age to 35 for some adults: “Screening for Type 2 diabetes and prediabetes should start at age 35 for people who are considered overweight, instead of the currently recommended age 40, a draft set of guidelines from the U.S. Preventive Services Task Force recommends.
The update, prompted by the rising number of Americans who are overweight or obese, could result in millions more being eligible for the blood test as part of regular medical exams. The guidelines are specifically intended for people who are overweight — a body-mass index of 25 to 30 — or obese, a BMI of 30 or above. Excess weight is a major risk factor for diabetes.”

'Painless' glucose monitors pushed despite little evidence they help most diabetes patients: “There's little evidence continuous glucose monitoring (CGM) leads to better outcomes for most people with diabetes — the estimated 25 million U.S. patients with Type 2 disease who don't inject insulin to regulate their blood sugar, health experts say.”
The article is a really good business case study.

About healthcare technology

Roche to Purchase GenMark Diagnostics in $1.8 Billion Deal: “GenMark offers respiratory pathogen panels that identify the most common viral and bacterial organisms associated with upper respiratory infection, including SARS-CoV-2. It received FDA Emergency Use Authorization in October 2020 and a CE mark in September 2020 for a rapid molecular panel that detects more than 20 respiratory pathogens, including the coronavirus.”

GE Healthcare debuts pocket-sized, wireless ultrasound: “GE Healthcare launched a new handheld, wireless ultrasound device, capable of scanning anywhere within the body and small enough to be carried around in a clinician’s pocket.
The Vscan Air is an addition to the company’s family of portable ultrasound systems which first launched in 2010. The device connects with the user’s own smartphone, and includes a two-sided design—when flipped over, it can be used for both shallow and deep tissue without switching probes during exams.”
This device is truly a disruptive technology.

Today's News and Commentary

About Covid-19

Vaccines drive optimism about containing COVID-19 pandemic — CBS News poll: “A majority [55%] of Americans say they'll get a COVID-19 vaccine when it becomes available to them or already have had at least one shot…One important change … is that today Black and Hispanic Americans are as likely as White Americans to say they'll get vaccinated if they haven't been already…. Republicans and conservatives are the most likely group to express hesitancy. However, there are clear differences by age, with older Republicans more likely to express willingness to get their shots. In fact, a majority of Republicans age 65 and older report having already been vaccinated, while most of those under age 45 express hesitancy, indicating potential hurdles ahead in maximizing the vaccinated share of the population.”

Association of Acute Symptoms of COVID-19 and Symptoms of Depression in Adults: “Among more than 3900 individuals with prior COVID-19 illness surveyed between May 2020 and January 2021, 52.4% met criteria for moderate or greater symptoms of major depression. In regression models, these symptoms were more likely among younger respondents compared with older respondents and among men compared with women as well as among those with greater self-reported overall COVID-19 severity compared with those with lower severity.
We did not replicate a prior finding among 114 individuals with COVID-19 that loss of smell and taste were associated with greater near-term depressive and anxious symptoms.”

Regular booster vaccines are the future in battle with COVID-19 virus, expert says: “Regular booster vaccines against the novel coronavirus will be needed because of mutations that make it more transmissible and better able to evade human immunity, the head of Britain’s effort to sequence the virus’s genomes told Reuters.”

Report on the Impact of the COVID-19 Pandemic on Smoking Cessation: “In 2012, the CDC began a national media campaign, Tips from Former Smokers, to promote state quitline services to tobacco users using the national portal, 1-800-QUIT-NOW. The campaign has been highly effective in increasing calls to the quitlines, with calls ranging from 700,000 to 900,000 annually since the campaign began. However, in 2020 calls to the state quitlines decreased by over 190,000 (-27%) compared to 2019 (525,609 compared to 715,624). The decrease in calls to state quitlines was not uniform over the year. Instead, the decrease mirrored the timeline of the pandemic…
Cigarette sales have been impacted by the pandemic as well. Although cigarette sales have shown a steady decline of 4-5% annually since 2015, sales increased 1% in the first 10 months of 2020 compared to the same time frame for 201910. This increase was not expected by the industry, which revised its expectation for sales mid-year in 202011. Stress and anxiety resulting from the pandemic may be factors in the increased use of tobacco, alcohol and other substances. NAQC [North American Quitline Consortium] suggests these factors also may have contributed to the decrease in calls to state quitlines.”

Potential for False Results with Roche Molecular Systems, Inc. cobas SARS-CoV-2 & Influenza Test for use on cobas Liat System: “The U.S. Food and Drug Administration (FDA) is alerting clinical laboratory staff, point-of-care (POC) facility staff, and health care providers that false positive results can occur with the Roche Molecular Systems, Inc. (Roche) cobas SARS-CoV-2 & Influenza A/B Nucleic Acid Test for use on the cobas Liat System.” This FDA letter explains the reasons for the false positives and measures to address these errors.

OSHA Rolls Out Biden-Ordered Virus Protection Program: “Under the program, OSHA will conduct both new inspections as well as follow-ups of work sites inspected in 2020 to make sure that potentially hazardous conditions have been corrected, the agency said in a memo.
The program beefs up OSHA's oversight of "high hazard" industries that expose the greatest number of workers to "serious risk," including hospitals, assisted living centers, nursing homes and other health care and emergency response providers treating COVID-19 patients, the agency said.”

Moderna Begins Dosing With COVID-19 Variant Booster Shot: “Moderna said participants will receive either a booster targeted at the South African variant or the company’s new multivalent vaccine candidate that targets both the original coronavirus strain and the variant strain.”

About the public’s health

Should I Get a Coronary CT Scan?: A helpful chart answers the title question.

Bombshell analysis traces new Ebola outbreak to survivor of West Africa crisis: “A survivor of the massive 2014-2016 West African Ebola outbreak almost certainly triggered an outbreak currently underway in Guinea, according to a new genetic analysis, news that has landed like a bombshell in the community of researchers who study the dangerous virus.
The analysis suggests that a survivor of the historic Ebola outbreak continued harboring the virus at least five years after being infected, eventually transmitting it to someone. Previously, the longest an Ebola survivor was believed to have shed the virus was about 500 days.”
About healthcare IT

More Than 1M Patients Had Data Exposed In Healthcare Data Breaches In February: More than 1.1 million patients “had data exposed in healthcare data breaches reported to the federal government last month.” Nearly 6.9 million patients “have had data exposed in breaches reported so far in 2021.” Healthcare providers, insurers and their business associates “reported 74 breaches in January and February combined, marking the second-highest number of breaches reported in the first two months of the year since HHS’ Office for Civil Rights began maintaining its breach database in 2010.”

About healthcare technology

Cardinal Health to sell off its Cordis device division in $1B deal: “After six years, Cardinal Health is dropping its Cordis medical device division, makers of cardiovascular catheters and diagnostic hardware, in a $1 billion deal with private equity firm Hellman & Friedman.
The healthcare services and distribution giant previously spent $1.9 billion to acquire Cordis from Johnson & Johnson in 2015, following months of rumors, with the hope of using it to grow its global footprint and deliver a broader device portfolio.
However, establishing the infrastructure needed to do so became more expensive than Cardinal Health anticipated—with large write-offs by 2018 due to expiring product inventories plus difficulties in optimizing Cordis’ manufacturing plants.”

About health insurance

CMS delays effective date of rule intended to hasten Medicare device coverage approval until May: “The delay of the rule, which also comes with a new 30-day comment period, is part of a larger regulatory freeze instituted by the Biden White House to review last-minute regulations approved under the Trump administration…
The rule would create a new pathway that would speed up the Medicare coverage process for devices that are approved via the Food and Drug Administration’s ‘breakthrough’ pathway that are intended to address an unmet medical need.
Devices approved under this pathway would get national Medicare coverage for four years simultaneously with approval by FDA. Normally it can take a year or more to get Medicare coverage for new devices after FDA approval or clearance.
A new concern laid out by the Biden administration is the volume of devices approved under FDA’s breakthrough pathway.”

About pharma

Takeda eyes sales of $9 billion from emerging, growth markets over next decade: “Takeda said it is looking to more than double revenues in its growth and emerging markets business unit, targeting sales of JPY 1 trillion ($9.2 billion) by fiscal year 2030, with expansions planned in regions such as Brazil, China and India.”
Read the articles for more details of this company’s strategy.

Two New Diabetes Drugs May Work Better in Asian People: “Two relatively-new but increasingly commonly-used diabetes drugs (with one of these classes also now approved for used in heart failure in people with or without diabetes) are possibly more effective in people with an Asian background than in people with a White background, according to new research.
The study – published today in Diabetes Care and led by the University of Glasgow – found the diabetes drug classes GLP-1 receptor agonists and SGLT2 inhibitors may work better at lowering the risk of heart attack and stroke, and heart failure and death from heart disease, respectively.”
Of interest is that drug approval in Japan, and some other Asian countries, requires testing in their own populations or, sometimes, in those of other Asian countries.

Lilly Alzheimer's drug shows benefit on cognition, function in mid-stage trial: “Eli Lilly and Co on Saturday said its experimental Alzheimer’s drug slowed the rate of decline in a measure of cognition and function by 32% compared with a placebo in a mid-stage trial of patients at an early stage of the mind wasting disease.
The drug, donanemab, also showed positive trends that failed to reach statistical significance on a range of secondary trial goals, the company said, providing details for the first time.”

Today's News and Commentary

29 best-managed healthcare companies: “Healthcare companies hold 29 spots in the top 250 best-managed companies in 2020, according to a ranking by the Drucker Institute published in The Wall Street Journal.
Customer satisfaction, employee engagement and development, innovation, social responsibility, and financial strength are five areas used to measure the organizations' performance. Companies received a score from zero to 100.”
Overall 9th and highest rated healthcare company is Johnson & Johnson.

Lawsuit claims HHS sunset rule is a 'ticking timebomb' for agency: “A new lawsuit led by several health groups seeks to strike down a last-minute rule approved under the Trump administration that will create ‘incalculable costs and chaos’ for the Department of Health and Human Services (HHS).
The lawsuit, filed… in the U.S. District Court for the Northern District of California, concerns a controversial rule that requires HHS to review and approve any regulations 10 years or older to ensure they are up to date. Any rule that does not get approved or reviewed will expire in 2026.”

About Covid-19

Seven European countries clamp down on AstraZeneca COVID-19 vaccine as safety worries threaten rollout: “AstraZeneca’s COVID-19 vaccine rollout has gotten off to a rocky start in Europe—to put it mildly. First, a supply shortfall triggered a public back-and-forth between executives and government officials. Then several countries expressed doubts about how well the vaccine works in people over 65. Now seven countries are raising safety concerns.
Denmark, Norway, Austria, Estonia, Latvia, Lithuania and Luxembourg have halted some or all of their AstraZeneca COVID-19 vaccinations over fears of blood clots, France24 reports.”
In related articles: Thailand suspends AstraZeneca vaccine because of ‘adverse symptoms’ and
Britons told to keep getting vaccines after some countries suspend AstraZeneca shots

The U.S. bought enough coronavirus vaccines for three times its adult population: “They include:

  • 100 million doses from Johnson & Johnson

  • 300 million doses from Pfizer

  • 300 million doses from Moderna

  • 300 million doses from AstraZeneca

  • 100 million doses from Novovax

  • 100 million doses from Sanofi”

Only the first three have been approved in the US.
Former President Trump ordered doses in advance of approval from all these companies.
Will we export excess vaccines or hold them in a stockpile if we find we need to administer booster shots?

Vaccine efficacy probable against COVID-19 variants: “…studies show that what appears to be magnitudes of difference in NAb [neutralization antibody] activity may not necessarily correlate with clinical immunity. As variant strains emerge, we will need to reevaluate vaccine efficacy by testing the inhibition of viral infection in vivo rather than by quantifying the antibodies produced after in vitro exposure. Reliable proof of immunity through vaccination may only come through reinfection challenge experiments or through longitudinal studies of postvaccination subjects.”

Study Says Naturally-Produced COVID-19 Antibodies and Single Dose of Pfizer/BioNTech Vaccine May Be Sufficient: “A single dose of Pfizer/BioNTech’s vaccine after prior COVID-19 infection may generate the same or higher levels of antibodies as having had two doses of the vaccine, according to a small study led by researchers from NYU Grossman School of Medicine’s Vaccine Center.
The study also suggests that the immune responses in most patients previously infected with the virus did not improve further after a second dose of vaccine.”

‘An accelerated cauldron of evolution’: Covid-19 patients with cancer, HIV, may play a role in emergence of variants: “Some hospitalized patients with weakened immune systems were shown to have mutating viruses months before the variants were discovered in the outside world.”

Novavax coronavirus vaccine completely prevents severe illness, but was less effective at preventing infections by variants: “In its final analysis, which has not yet been peer-reviewed or published, the company said that its vaccine was 96 percent effective against mild, moderate and severe cases of covid-19 caused by the original strain. That dropped, modestly, to 86 percent against the B.1.1.7 variant first detected in the United Kingdom. In South Africa, where a variant called B.1.351 has become dominant, the vaccine was 55 percent effective against any cases of covid-19 among participants who were not infected with HIV.
But it was 100 percent effective against severe disease, including against the variants.”

Activists, drug groups in waiver war over COVID-19 shot patents: “A World Trade Organization (WTO) council is discussing a proposal by India and South Africa that COVID-19 vaccine and other medical patents be suspended to speed up technology transfers to manufacturers with spare production capacity.”
It is unclear why debate would need to take place when the compulsory license procedure applies to vaccine manufacture. (See the Technology chapter in the book.)

Eli Lilly COVID-19 antibody combo aces study, cutting hospitalizations and deaths by a whopping 87%: “Eli Lilly’s COVID-19 antibody combo already boasts an FDA authorization for patients at a high risk of developing severe disease, but now the company has even stronger data backing the duo.
In trial data released Wednesday, the company said its bamlanivimab-etesevimab duo slashed the risk of hospitalization and death by a whopping 87% versus placebo. Investigators tested a combination of 700 mg of bamlanivimab and 1400 mg of etesevimab in a trial comprising 769 patients total…
Patients over 65, or those under 65 but who are overweight or have multiple health problems, qualify as high-risk for treatment with the drug.”

What claims from 150,000 Cigna members reveal about common diagnoses post-COVID-19:
”Here are the five most common long-term, post-COVID-19 complications Cigna found:

1. Nervous system (headache/migraine, stroke and seizures)
2. Chronic respiratory conditions 
3. Heart disease 
4. Mental health disorders
5. Renal/urinary conditions”

Majority Approves Of Biden's Handling Of Pandemic, NPR/PBS NewsHour/Marist Poll Finds: “Sixty-two percent of Americans approve of how Biden is handling the pandemic.”

About the public’s health

Biden directing $2.5B to address mental health and addiction crisis: “The funds will be broken down into two components by the Substance Abuse and Mental Health Services Administration. 

  • $1.65 billion will go toward the Substance Abuse Prevention and Treatment Block Grant, which gives the receiving states and territories money to improve already-existing treatment infrastructure and create or better prevention and treatment programs.

  • $825 million will be allocated through a Community Mental Health Services Block Grant program, which will be used by the states to deal specifically with mental health treatment services.”

Life expectancy in adulthood is falling for those without a BA degree, but as educational gaps have widened, racial gaps have narrowed: “Our main aim here is to document the patterns… that the fall in period life expectancy between 25 and 75 in the US population is confined to those without a 4-y college degree, and that this is true for men and women and for Black and White people. The widening educational differences have meant that education is now a sharper differentiator of expected years of life between 25 and 75 than is race [emphasis added], a reversal of the situation in 1990.”

Coalition eyes 100-day target for new vaccines against disease epidemics: “An international coalition set up to prepare for future infectious disease threats set out what it called its ‘moonshot’ plan on Wednesday to ensure new vaccines against emerging disease epidemics are developed within 100 days.
Launching a $3.5 billion five-year strategy to tackle future pandemic risks, the Coalition for Epidemic Preparedness Innovations (CEPI) said more needs to be done urgently to mitigate the threat posed by new COVID-19 variants, and to prepare for new infectious diseases…
CEPI, which was created in 2017 with initial donor funding from Germany, Japan and Norway and from the Bill & Melinda Gates Foundation and the Wellcome Trust global health charity, has played a key role in funding early development of a range of candidate vaccines against COVID-19.”

About pharma

Senate OKs Drug Exclusivity Change To Boost Generics: “The Senate has easily approved two bipartisan bills meant to lower prescription drug prices by boosting generics and biosimilars, including one proposal to tighten eligibility for the new drug exclusivity period during which innovators can avoid competition. The Ensuring Innovation Act would codify the U. S. Food and Drug Administration's efforts to award exclusivity based on the ‘active moiety’ rather than the ‘active ingredient,’ limiting when drug companies can get new exclusivity periods related to existing drugs and avoid competition from generic versions. It passed the Senate on Wednesday by unanimous consent, meaning no senator objected to its approval…”
If this bill becomes law it could be a huge “game changer” for pharma.

FDA's pandemic-related drug inspection backlog could drag on, GAO warns: “According to the US Government Accountability Office (GAO), the COVID-19 pandemic has forced the FDA to postpone more than 1000 of its planned fiscal year 2020 surveillance inspections, and the agency will ‘likely face a backlog of inspections in future years.’ The GAO report, which was recently submitted to a US House subcommittee, indicates that in addition to affecting inspections on the domestic front, pandemic-related travel restrictions and safety concerns have also hampered the FDA's ability to ensure the safety of imported medicines.”

Dr. Reddy's pulls hundreds of thousands of bottles of Lipitor generic over impurity fears: “Dr. Reddy’s Princeton, New Jersey, outfit is pulling hundreds of thousands of bottles of the cholesterol drug atorvastatin calcium in the U.S. due to impurities that turned up in the product. The company is also recalling one batch of the hormone progesterone after stability testing revealed subpar dissolution.”

Antibiotic/Antimicrobial Resistance: “Each year in the U.S., at least 2.8 million people get an antibiotic-resistant infection, and more than 35,000 people die.” This CDC update lays out the agency’s approach to addressing this problem.

Drug Price Spotlight: WOUND DRESSING PRODUCTS: From Optum: “In the U.S., chronic wounds affect an estimated 6.5 million people, resulting in annual treatment costs of up to $25 billion…
Notably, high-cost prescription wound dressings have not demonstrated consistent clinical benefit compared to those with similar active ingredients available in low-cost prescription or over-the-counter (OTC) form.
Recently, manufacturers have launched new brand-name prescription wound dressings that include similar combinations of ingredients as OTC and lower-cost generic products. Yet, they are priced far higher than the alternatives — up to 125 times more [SIL-K PAD® Silicone pads].” [All emphases in original].

FDA grants fast track designation to stem cell therapy for type 1 diabetes: “The FDA granted fast track designation to VX-880, a human stem cell-derived therapy for patients with type 1 diabetes, according to the agent’s manufacturer.
VX-880 (Vertex Pharmaceuticals) is a first-in-class, allogeneic, fully differentiated islet cell therapy designed to regulate glucose levels by restoring a patient’s pancreatic islet cell function, including insulin production.”

Takeda to Purchase Maverick for $525 Million to Boost T-Cell Therapy Pipeline: “Takeda Pharmaceutical is expanding its immune-oncology portfolio by acquiring Brisbane, Calif.-based Maverick Therapeutics for $525 million.
The Japanese drugmaker will gain access to Maverick’s COBRA T-cell engaging platform and development pipeline. T‐cell engager technology is designed to treat cancers by connecting patients’ T-cells to cancer cells.”

5 dated drugs that are getting new indications: Interesting look at these “old” medications. The article highlights the fact that technology assessment is a continuing process of reevaluation.

About healthcare IT

Mahana Therapeutics Earns CE Mark for Digital Irritable Bowel Syndrome Therapeutic:What is interesting about this article (other than the app itself) is the FDA approval of a digital treatment.

Incremental Benefits of Machine Learning—When Do We Need a Better Mousetrap?: A thoughtful review of machine learning, how it can help with analysis and where it falls short of promises. For example, for “typical clinical prediction tasks, wherein predictions are based on a modest number of clinical variables, ML algorithms are on par with logistic regression.”
However, “in medical image processing, prediction models have reached levels of performance unimaginable only a decade ago, largely because of the success and popularization of deep convolutional neural networks.”
In a related article: Association of Clinician Diagnostic Performance With Machine Learning[ML]–Based Decision Support Systems: A Systematic Review: “This systematic review found only sparse evidence that the use of ML-based CDSSs [Clinical Decision Support Systems] is associated with improved clinician diagnostic performance. Most studies had a low number of participants, were at high or unclear risk of bias, and showed little or no consideration for human factors. Caution should be exercised when estimating the current potential of ML to improve human diagnostic performance, and more comprehensive evaluation should be conducted before deploying ML-based CDSSs in clinical settings. The results highlight the importance of considering supported human decisions as end points rather than merely the stand-alone CDSSs outputs.”

Utah COVID-19 testing company stored data on public server, exposing 52,000 patients' info: “Premier Diagnostics, a Lehi, Utah-based diagnostic testing company, left about 52,000 patients' data exposed last month after storing the information on a publicly accessible server…”

American Medical Collection Agency reaches 40-state settlement for data breach that exposed 21 million patients' info: “American Medical Collection Agency on March 11 reached a settlement with 40 states and Washington D.C., to settle a complaint following a 2019 cyberattack that exposed 21 million Americans' personal information, including Social Security numbers, diagnoses and credit card information.
The Elmsford, N.Y.-based company specializes in small-balance medical-debt collection and offers services mostly for laboratories and medical testing facilities.”

Hackers Breach Thousands of Security Cameras, Exposing Tesla, Jails, Hospitals: “A group of hackers say they breached a massive trove of security-camera data collected by Silicon Valley startup Verkada Inc., gaining access to live feeds of 150,000 surveillance cameras inside hospitals, companies, police departments, prisons and schools.”

About health technology

FDA Clears Promaxo’s Magnetic Resonance Imaging Platform for Office Settings: “The FDA has granted Promaxo 510(k) marketing clearance for its office-based magnetic resonance imaging (MRI) system, the Promaxo MRI.
The system is now cleared for use in hospitals and physicians’ offices for guiding prostate interventions using its scanner. It is intended for use by urologists and interventional/urologic radiologists for surgical localization of prostatic lesions in the office or outpatient surgical settings.
The device is easy to install in an office because it does not need special shielding or facility upgrades, and it does not require the use of endorectal coils in patients during MRI scans.”
While only approved for limited indications, this device has huge potential for other in-office uses.

About health insurance

Biden Administration Pauses Key Value-Based Reimbursement Models: “The Biden administration has paused several prominent value-based reimbursement models run by the CMS Innovation Center (CMMI) to review model details, according to several updates provided on model webpages.
Among the value-based reimbursement models impacted are the Geographic Direct Contracting Model, Primary Care First Model’s Seriously Ill Population option, and the Kidney Care Choices Model—three models approved by the Trump administration…
A separate update was also recently provided for the CMS' largest value-based reimbursement model, the Medicare Shared Savings Program, pushing back the application process timeline for accountable care organizations (ACOs) applying to participate starting Jan. 1, 2022.”

Ohio sues Centene, claims misrepresented pharmacy expenses cost Medicaid millions: “Ohio Attorney General Dave Yost filed a lawsuit against Centene March 11, claiming the company's subsidiary, Buckeye Health Plan, used a web of subcontractors to misrepresent pharmacy costs, which led to millions of dollars in overpayments by the state's Medicaid department.”

CMS Announces Final participants in Emergency Triage, Treat, and Transport (ET3) Model, Furthers Commitment to Ensure Beneficiaries Have Access to Quality Care and Treatment: This model extends the opportunity for payment to certain ambulance services treating patients on site, not just when they are transported to a hospital.

Supreme Court cancels arguments in Medicaid work requirement case: “The Supreme Court on Thursday called off upcoming arguments over a Trump-era plan to impose work requirements on Medicaid recipients after the Biden administration said it was considering scrapping the policy.
Arguments had been slated for March 29, but were removed from the court calendar after the Biden administration asked the justices last month to put the case on hold while it undertook a policy review.”
In a related article: HHS data highlights negative effects of work requirements

Providers Blast Medicare Spending Cuts in COVID Relief Package: “Implementation of the American Rescue Plan will trigger automatic spending cuts as a deficit control measure, resulting in $36 billion in Medicare spending cuts in fiscal year 2020 alone…
The American Hospital Association (AHA) is predicting hospitals alone to be down by up to $122 billion in 2021. That is on top of the estimated $323 billion in losses the previous year.”
In a related story: House to advance bill preventing automatic Medicare cuts: “House Democrats are planning to advance a bill that would stop automatic spending cuts to programs such as Medicare next week, a necessary step after President Biden signed the $1.9 trillion COVID-19 relief package into law Thursday.”

Government will fully cover laid-off workers’ COBRA premiums through September: “The government will pay for laid-off workers to maintain their employer-sponsored health insurance through September, thanks to a provision in the $1.9 trillion stimulus package signed into law on Thursday by President Joe Biden.
As part of the relief bill, the government will subsidize COBRA premiums for former workers of a company until the fall.”

Pharmacy owner and accountant indicted in $134M health care fraud scheme: “4M Pharmaceuticals allegedly functioned as an outbound telemarketing call center that solicited Medicare, Medicaid and commercial insurance patients nationwide… The indictment alleges call center employees offered patients medically unnecessary diabetic supplies and topical creams although many refused the solicitations. However, 4M Pharmaceuticals and pharmacies allegedly billed the patient’s insurance plan anyway. In some cases, 4M pharmacies billed for prescriptions dispensed after a patient’s death, according to the allegations.
The scheme also allegedly targeted doctors. The charges allege 4M Pharmaceuticals sent fax requests for prescriptions that patients often did not authorize. In several cases, the company billed patients for prescription drugs without a valid prescription, according to the allegations. 4M pharmacies also allegedly sent prescription requests to doctors for dead patients.”

2 Texas Doctors Agree To Plead Guilty In Tricare Fraud Case: “Two doctors charged in an alleged $100 million Tricare fraud scheme agreed to plead guilty to charges of misusing a health identifier to write prescriptions and agreed to pay a total of $851,000 in restitution to the Defense Health Agency…”
According to another article: “The alleged fraud occurred between 2014 and 2016, and involved kickbacks and a conspiracy to sell soldiers pricey pain and scar creams that were unnecessary, while the military health plan paid for the ruse. The government said pharmacies paid marketers for attracting fraudulent prescriptions to their business while defendants paid kickbacks to doctors in order to refer more prescriptions.”

About hospitals and health systems

Trinity Health posts $2.7B in net income for 2nd half of its fiscal year: “Trinity Health reported earnings of $2.7 billion for the second half of its fiscal year that ended Dec. 31, 2020, a major jump over the $805 million it generated in the same period the year before.
Trinity posted its earnings Friday for the second half of its 2021 fiscal year that started in July 2020. The earnings come amid declines in patient service revenue due to the COVID-19 pandemic. Trinity Health is the latest hospital system to post positive earnings despite patient revenue declines.”

4 recent health system credit rating downgrades: FYI. However, in a related article: Debt default risk for hospitals drops from 2020 high: “In 2020, the median default odds jumped to 8.1 percent. However, as of March 8, the probability of default rate fell to 0.9 percent.”

Today's News and Commentary

About Covid-19

First Month of COVID-19 Vaccine Safety Monitoring — United States, December 14, 2020–January 13, 2021: From the CDC: “Monitoring, conducted as part of the U.S. vaccination program, indicates reassuring safety profiles for COVID-19 vaccines. Local and systemic reactions were common; rare reports of anaphylaxis were received. No unusual or unexpected reporting patterns were detected.”

Pfizer, BioNTech's COVID-19 vaccine neutralises Brazil variant in lab study: “According to laboratory study findings published Monday in the NEJM, Pfizer and BioNTech's mRNA-based COVID-19 vaccine BNT162b2 was able to neutralise the P.1 variant of SARS-CoV-2 that first surfaced in Brazil. The news follows a report late last week that suggested AstraZeneca's coronavirus vaccine AZD1222 also showed early evidence of being effective against the so-called Brazil variant.
In previous studies, Pfizer and BioNTech's vaccine neutralised a more contagious variant first identified in the UK, dubbed B.1.1.7, but appeared to elicit lower protective antibodies against B.1.351, another fast-spreading strain that initially emerged in South Africa.”

Pfizer, Moderna vaccines 10 times less effective against virus variant in small study: “The percentage of neutralizing antibodies in Moderna's vaccine that protected against the variant, called B.1.351, was 12.4 times lower compared to the original virus strain and 10.3 times lower for Pfizer's vaccine…
A mutation on the variant called E484K seemed to be a "major contributor" to the vaccines' lower efficacy, the researchers wrote in the study, which was accepted by Nature but has yet to be published.”

Vaccine responses appear weaker in elderly: “New data uploaded to medRxiv suggest that Pfizer and BioNTech's coronavirus vaccine BNT162b2 induces weaker immune responses in elderly people compared to younger and middle-aged adults... Researchers studied 91 vaccine recipients under the age of 60 and 85 recipients over age 80.
They reported that 17 days after the second of two doses, 31% of the elderly recipients did not have any antibodies capable of neutralizing the virus, whereas this was true for only 2% of the younger group. Even among those under age 60, only 16% had neutralizing antibodies after the first dose.”

About health insurance

Boosted Obamacare subsidies could soon be available at Healthcare.gov: The article discusses the proposed expansion of insurance subsidies for ACA exchanges. While premiums can be costly, subsidies to cover them are only half (or less) of the story. A major concern is the out-of-pocket expenses which make coverage, in the end, unaffordable. See, also,: COVID bill to deliver big health insurance savings for many

Cigna to expand commercial footprint 25%: 5 notes:

1. Cigna wants to reach 50 percent of Americans who are eligible for Medicare by 2025. 

2. The insurer said 150,000 of its commercial members turn 65 each year.

3. For its individual and family plans, Cigna expects to double membership to 500,000 by 2025, and double its market to 20 states in the same time frame.

4. Cigna's overall U.S. addressable market will more than double to $2.2 trillion by 2025, the insurer said.

5. Cigna also projects it will double its ACA member base and the number of states where marketplace plans are offered by 2025.

Medicare sequester stakes rise with 6% doctor pay cut in store: “Already staring down the April expiration of the moratorium on the Medicare sequester that would cut Medicare physician pay by 2%, the AMA is now raising the alarm with congressional leaders about an additional 4% cut triggered by passage of the president’s American Rescue Plan Act.”

About healthcare IT

Telehealth Claim Lines Increase 2817 Percent From December 2019 to December 2020: “Telehealth claim lines increased 2,817 percent nationally from December 2019 to December 2020, rising from 0.22 percent of medical claim lines in December 2019 to 6.51 percent in December 2020, according to new data from FAIR Health’s Monthly Telehealth Regional Tracker. From month to month, the telehealth share of medical claim lines rose 8.3 percent nationally, from 6.01 percent in November 2020 to 6.51 percent in December 2020. The data represent the privately insured population, excluding Medicare and Medicaid. With the addition of December, the Telehealth Tracker now has a complete 12 months of data for 2020 as compared to 2019.”
The Telehealth Regional Tracker is worth a look to track telehealth usage by:
Volume of claim lines;
Urban vs. rural usage;
Top five procedure codes; and
Top five diagnoses.

Health tech funding snapshot: An update on IT companies that received significant investments in the past month.

Ransomware attack exposed info of 210K MultiCare patients, providers, workers: “Information exposed by the ransomware attack includes names, addresses, Social Security numbers, medical record numbers, bank account numbers and medical record disclosure logs.”

Change Healthcare in Collaboration with AWS Announces a New Data Science as a Service (DSaaS) Offering to Drive Improved Outcomes and Healthcare Economics for Vulnerable Health Communities: “Today Change Healthcare announced a new collaboration with Amazon Web Services, Inc. (AWS) to better assess and improve the effectiveness of interventions and therapies, particularly for underserved and vulnerable populations.
The new Data Science as a Service (DSaaS) offering provides de-identified claims data, enhanced with social determinants of health, enabling security and tailored for individual customers seeking to develop and deploy compliant health analytics at scale. Historically, the process of using regulated health data with social determinants is manual, slow, and fraught with compliance challenges. Leveraging the agility, scale, and security of AWS, DSaaS will address those problems by pre-integrating data and deploying automated software that consistently monitors adherence to privacy/compliance obligations to make patient-level integration of de-identified claims, SDOH, behavioral health, and other novel data practical and timely.”

100,000 affected in Texas healthcare provider cyberattack: “Elara Caring, a home-based care provider, began notifying 100,400 patients that an unauthorized party received unauthorized access to corporate email accounts.
Upon discovery of the data breach in mid-December 2020, Elara Caring launched an investigation led by third-party security experts, notified law enforcement and reset passwords for all employees, the Addison, Texas-based organization said in a recent news release.
Elara Caring said it believes patient and employee information may have been viewed, including Social Security numbers, bank account information and driver's license numbers.”

About pharma

The top 10 drugs losing U.S. exclusivity in 2021: The saving from these drugs will be highly variable depending on the generic that replaces them. See Chapter 7 in the book for strategies that branded companies use to mitigate these losses.

AmerisourceBergen awards CEO $14.3M pay package despite $6.6B opioid settlement: REALLY?!

About hospitals and health systems

HCA shares hit 1-year high: “Shares of Nashville, Tenn.-based HCA Healthcare closed at $189.21 March 8, a new 52-week high…
March 8 marked the third consecutive day of gains for shares of HCA. Shares closed the day up 2.99 percent from $183.71 on March 5…
HCA ended the fourth quarter of last year with net income of $1.4 billion on revenue of $14.3 billion. A year earlier, the company reported net income of $1.1 billion on revenue of $13.5 billion.”

Providence's annual net income slips $619M: “Providence, a 51-hospital system based in Renton, Wash., ended last year with an operating loss and lower net income than in 2019. 
The health system reported revenue of $25.7 billion, up 3 percent from 2019, according to financial documents released March 8. Though patient volumes and patient revenue were down last year, $957 million in grants made available under the Coronavirus Aid, Relief and Economic Security Act pushed Providence's revenue higher in 2020.”

About the public’s health

Screening for Lung CancerUS Preventive Services Task Force Recommendation Statement: “USPSTF recommends annual screening for lung cancer with LDCT [low-dose computed tomography] adults aged 50 to 80 years who have a 20 pack-year smoking history and currently smoke or have quit within the past 15 years. Screening should be discontinued once a person has not smoked for 15 years or develops a health problem that substantially limits life expectancy or the ability or willingness to have curative lung surgery. (B recommendation) This recommendation replaces the 2013 USPSTF statement that recommended annual screening for lung cancer with LDCT in adults aged 55 to 80 years who have a 30 pack-year smoking history and currently smoke or have quit within the past 15 years.”

Changes in Diagnostic and Demographic Characteristics of Patients Seeking Mental Health Care During the Early COVID-19 Pandemic in a Large, Community-Based Health Care System: “Compared to 2019, psychiatric visits increased significantly (P < .0001) in 2020, with the majority being telephone/video-based (+264%). Psychiatric care volume increased overall (7%), with the greatest increases in addiction (+42%), behavioral health in primary care (+17%), and adult psychiatry (+5%) clinics. While patients seeking care with preexisting psychiatric diagnoses were mainly stable (−2%), new patients declined (−42%). Visits for substance use (+51%), adjustment (+15%), anxiety (+12%), bipolar (+9%), and psychotic (+6%) disorder diagnoses, and for patients aged 18–25 years (+4%) and 26–39 years (+4%), increased. Child/adolescent and older adult patient visits decreased (−22.7% and −5.5%, respectively), and fewer patients identifying as White (−3.8%) or male (−5.0) or with depression (−3%) or disorders of childhood (−2%) sought care.”

Best States Rankings: This link is to the US News 2021 ranking, best to worse, for healthcare. The top 5 overall are:

  1. Hawaii

  2. Massachusetts

  3. Connecticut

  4. New Jersey

  5. California

Today's News and Commentary

Today is International Women’s Day

About Covid-19

How One Firm Put an ‘Extraordinary Burden’ on the U.S.’s Troubled Stockpile: This article from The NY Times is a must read. I would not be surprised if it won a Pulitzer. It is about how influence peddling by a biotech firm has taken needed funding from our country’s COVID-19 response.

When You’ve Been Fully Vaccinated: Latest CDC update.
”What’s Changed:
If you’ve been fully vaccinated:

  • You can gather indoors with fully vaccinated people without wearing a mask.

  • You can gather indoors with unvaccinated people from one other household (for example, visiting with relatives who all live together) without masks, unless any of those people or anyone they live with has an increased risk for severe illness from COVID-19.

  • If you’ve been around someone who has COVID-19, you do not need to stay away from others or get tested unless you have symptoms.

    • However, if you live in a group setting (like a correctional or detention facility or group home) and are around someone who has COVID-19, you should still stay away from others for 14 days and get tested, even if you don’t have symptoms.”

U.S. Government Scientists Skeptical of One-Shot Regimen for Pfizer, Moderna Covid Vaccines: “U.S. government scientists are pushing back against calls for one-dose regimens for two Covid-19 vaccines designed to be administered with two shots, saying there isn’t enough evidence that a single dose provides long-term protection.
’It is essential that these vaccines be used as authorized by FDA in order to prevent Covid-19 and related hospitalizations and death,’ Peter Marks, director of the Food and Drug Administration’s center that oversees vaccines, told The Wall Street Journal.”



US could reach herd immunity by summer through vaccinations alone, CNN analysis finds: “At the current pace of about 2 million shots per day -- the latest seven-day average of doses administered reported by the US Centers for Disease Control and Prevention -- the US could reach herd immunity by summer through vaccinations alone. It will likely be even sooner, if factoring in individuals who may have some natural immunity due to prior infection.”

Early data suggest AstraZeneca's COVID-19 vaccine effective against Brazil variant: report: “According to a source familiar with the matter, preliminary study findings indicate that AstraZeneca's coronavirus vaccine AZD1222 is effective against the P.1 variant of SARS-CoV-2 first identified in Brazil. The source did not provide exact efficacy of the vaccine against the P.1 strain, but said full results from the study should be released soon, possibly this month.”

Merck has better luck with 2nd COVID-19 drug attempt as it sees a positive in early molnupiravir data: “Over the weekend, the Big Pharma and its biotech partner Ridgeback announced their drug, molnupiravir, hit one of its secondary objectives from a new trial, namely to reduce time to negativity of infectious SARS-CoV-2 virus isolation from swabs in patients with symptomatic COVID-19.
The data show that, at Day 5, there was a reduction in positive viral culture in subjects who received molnupiravir (all doses) compared to placebo: 0% (0/47) for molnupiravir and 24% (6/25) for placebo.”

Biden team plots the country’s first national Covid testing strategy: “The Biden administration is preparing to launch the first of several Covid-19 testing hubs to coordinate and oversee a $650 million expansion of testing in K-8 schools and congregate settings like homeless shelters.
The Department of Health and Human Services hopes to open the first hub in April, as part of a public-private partnership that could eventually add up to 25 million tests per month to the nation’s testing totals, two sources briefed on the plans told POLITICO.”

Fever-scanner company pulls device off market following FDA warning: “The company, Certify Global, was among seven manufacturers whose products were tested in research first reported Thursday by The Washington Post. The research found critical flaws in thermal-imaging systems’ ability to accurately detect people’s skin temperature. Companies have advertised the systems as a powerful first line of defense in screening people for covid infections.”

Oxford Immunotec’s COVID-19 T Cell Test Gets European Clearance: “Oxford Immunotec has obtained CE Mark certification for its T-SPOT.COVID test, a diagnostic that detects T cell immune responses to SARS-CoV-2 using blood samples.
Antibodies are not always produced in response to SARS-CoV-2 infection, or they may wane quickly after infection. ‘In the absence of an antibody response, the T cell response may be protective from SARS-CoV-2 infection,’ the company said.
According to a study that evaluated samples collected in the U.S., the test showed it could detect a SARS-CoV-2 T cell mediated immune response in patients who tested positive for coronavirus, even when they had negative serology test results for antibodies. The company has filed for an Emergency Use Authorization (EUA) from the FDA for its test.”

Cue Health's COVID-19 cartridge test authorized for home use with no prescription: “One year into the pandemic, the FDA has authorized its first molecular COVID-19 diagnostic that can be performed completely at home and purchased without a prescription.
Cue Health’s cartridge-based nasal swab test can be used solo or for children as young as two with adult supervision, regardless of whether a person is showing symptoms or suspects that they’ve been exposed directly to the coronavirus.”
The article has a photo of the device.

Abbott Secures EUA for COVID-19 Combination Test: “Abbott has received Emergency Use Authorization (EUA) from the FDA for its Alinity m Resp-4-Plex molecular assay, a combination test for SARS-CoV-2, Influenza A and B, and respiratory syncytial virus (RSV).
The test uses either an anterior nasal or nasopharyngeal swab collected by a healthcare provider or an anterior nasal swab self-collected at a healthcare location for patients suspected of COVID-19 infection.”

How the pandemic could change architecture: The headline speaks for itself. It is very readable, graphically displayed description of the changes. One prediction: We will walk in the street and eat on the sidewalk.

Covid-19 Pill Shows Promise in Preliminary Testing: “The pill, which is being developed by Ridgeback Biotherapeutics LP and Merck & Co., significantly reduced infectious virus in subjects in a mid-stage study after five days of treatment, Ridgeback is reporting at a virtual meeting of infectious-disease scientists Saturday…
Tests didn’t detect infectious virus in any of the study volunteers who took molnupiravir twice a day after five days of treatment, while 24% of subjects who received a placebo did, Ridgeback reported at the virtual Conference on Retroviruses and Opportunistic Infections.”

Oxford-AstraZeneca Covid-19 Vaccine Startup in Conflict With University Ahead of Planned IPO: “Nine-hundred-year-old Oxford is wrestling with how to rewrite its rules for fostering companies created by its academics or born in its labs, while in a standoff with one that has been thrust into the spotlight by the pandemic. The startup, Vaccitech Ltd., has been pitching to potential investors and laying groundwork for a stock listing in New York as early as this year, according to people close to the plans and marketing documents reviewed by The Wall Street Journal.
Investors are aiming for an IPO valuation of around $700 million, with expectations that Vaccitech could be a $1 billion company by year-end.”

States propose bills to ban employers from mandating coronavirus vaccines: A really good discussion of the issue of employer vaccine mandates.
Scroll down this article for a concise breakdown of what’s in the $1.9 Trillion Senate bill that passed this weekend and which the House is expected to pass today or tomorrow.

About pharma

GlaxoSmithKline's doctor payments double as relaxed policy plays out: “GlaxoSmithKline payments to doctors are on the rise again, as its relaxed payment policy continues. It notched a 40% increase from $11 million in 2017 to more than $15 million in 2019 in the U.S., likely reflecting its loosening of a formerly strict physician payment policy.
The company's 2016 policy, decreed by former CEO Andrew Witty, banned direct payments to doctors speaking on behalf of the pharma and contributed to a hefty drop in payouts from $30.6 million in 2016 to $11 million the following year, according to data from the U.S. Open Payments database. GSK’s tally dropped even further in 2018 to $8.9 million before increasing in 2019.
That spending is now on the rise around the world. GSK spent £19.3 million on payments to physicians in 2019, almost double the £9.9 million it paid out in 2017, which was the year Emma Walmsley took over as CEO…”

Novartis' £1.79M gene therapy Zolgensma scores cost watchdog's backing, threatening Biogen's Spinraza: The battle continues in the super-expensive category: “NICE endorsed Zolgensma, which costs £1.79 million per dose, for babies aged up to 12 months with type 1 spinal muscular atrophy (SMA). If the draft guidance is finalized, the med would become the most expensive drug ever to be approved by the cost-effectiveness agency.” In a related article, see: 10 most expensive drugs in the US

Amgen to Buy Five Prime Therapeutics for $1.9 Billion: “Amgen has agreed to acquire Five Prime Therapeutics, a South San Francisco biotech company, for $1.9 billion, a deal that will net the biopharma titan a pipeline that includes a promising investigational gastric cancer drug.
As part of the acquisition, Amgen will obtain bemarituzumab, an anti-FGFR2b antibody that is ready to enter phase 3 clinical trials. The drug holds promise in treating gastric cancer and its phase 2 study in frontline advanced gastric or gastroesophageal junction (GEJ) cancer demonstrated positive results.”

In Head-to-Head Study, Eli Lilly’s Diabetes Drug Candidate Surpasses Ozempic: “Eli Lilly said its investigational drug, tirzepatide, reduced blood sugar and body weight in adults with type 2 diabetes significantly more than Novo Nordisk’s blockbuster Ozempic (semaglutide), in a head-to-head clinical study.”

About hospitals and health systems

Trinity Health reports $2.7B net income over 6 months: “Trinity posted revenue of $10.3 billion in the six months ended Dec. 31, up 5.9 percent from $9.7 billion in the same period of 2019. The health system attributed the increase to $534.2 million in provider relief grants recognized. Excluding those grants, revenue increased less than 1 percent year over year, the health system said.” 

Hospitals will likely continue to have staffing shortages despite falling COVID-19 cases: “Despite recent declines in coronavirus cases nationwide, many hospitals may still have workforce shortages over the next 30 days due to COVID-19 hospitalizations, according to estimates from George Washington University.
The university's Fitzhugh Mullan Institute for Health Workforce Equity recently launched its COVID-19 County Workforce Estimator, which predicts that between now and March 20, 7% of U.S. counties will experience ‘significant strains’ on their hospital workforces. It attributes the strain to long-standing staffing problems with the added pressure of the pandemic.
It also predicts that 209 counties will need to implement crisis workforce strategies due to its analysis that ICU doctors in those counties will be forced to take care of 24 or more patients at a time.”

Ascension Ventures Finalizes Fifth Strategic Healthcare Venture Fund; Expands Assets Under Management to More Than $1 Billion: “Ascension Ventures (AV) today announced the closing of a $285 million strategic venture capital fund. This fifth fund brings the firm’s total assets under management to more than $1 billion. The new fund is backed by 13 leading health system partners directly involved in AV’s diligence and investment approval process…
Joining Ascension as limited partners in the new fund are continuing health system partners AdventHealth, Carle Foundation, CentraCare, Children’s Medical Center of Dallas, Intermountain Healthcare, Novant Health, OhioHealth and OSF HealthCare. New limited partners in the fund include Luminis Health, Sentara Healthcare, Texas Health Resources and one other undisclosed health system.”

About healthcare IT

65,000 Humana members' information exposed in wrongful records access incidents: The headline speaks for itself.

About the public’s health

Associations of Fish Consumption With Risk of Cardiovascular Disease and Mortality Among Individuals With or Without Vascular Disease From 58 Countries: “Findings of this pooled analysis of 4 cohort studies indicated that a minimal fish intake of 175 g (approximately 2 servings) weekly is associated with lower risk of major CVD and mortality among patients with prior CVD but not in general populations. The consumption of fish (especially oily fish) should be evaluated in randomized trials of clinical outcomes among people with vascular disease.”

Short-Course Antimicrobial Therapy for Pediatric Community-Acquired Pneumonia: The SAFER Randomized Clinical Trial: “Short-course antibiotic therapy appeared to be comparable to standard care for the treatment of previously healthy children with CAP not requiring hospitalization. Clinical practice guidelines should consider recommending 5 days of amoxicillin for pediatric pneumonia management in accordance with antimicrobial stewardship principles.”

Today's News and Commentary

The Future of Health Policy in a Partisan United States-Insights From Public Opinion Polls: This summary of polls over the past year highlights how Democratic and Republican views are diverging on a number of healthcare issues. Addressing the economic consequences of Covid-19 seems to be the only point of agreement.

About Covid-19

Growing Share of Americans Say They Plan To Get a COVID-19 Vaccine – or Already Have: The latest Pew Foundation poll reveals that overall, “19% of adults say they have already received at least one dose of a coronavirus vaccine. Another 50% say they definitely or probably plan to get vaccinated. Taken together, 69% of the public intends to get a vaccine – or already has – up significantly from 60% who said they planned to get vaccinated in November…”
One important difference is that a “majority of Black Americans (61%) now say they plan to get a COVID-19 vaccine or have already received one, up sharply from 42% who said they planned to get vaccinated in November. Differences in intent to be vaccinated among Black, White, Hispanic or Asian adults are generally smaller now than they were three months ago.”

WHO Investigators to Scrap Plans for Interim Report on Probe of Covid-19 Origins: “A World Health Organization team investigating the origins of Covid-19 is planning to scrap an interim report on its recent mission to China amid mounting tensions between Beijing and Washington over the investigation and an appeal from one international group of scientists for a new probe.
The group of two dozen scientists is calling in an open letter on Thursday for a new international inquiry. They say the WHO team that last month completed a mission to Wuhan—the Chinese city where the first known cases were found—had insufficient access to adequately investigate possible sources of the new coronavirus, including whether it slipped from a laboratory.”

No need for lengthy trials of vaccine modifications, UK regulator says: “The UK regulator will not require ‘lengthy’ clinical studies to assess Covid-19 vaccine modifications to tackle new variants, it announced on Thursday, with approval possible in as little as two weeks after final data is received from manufacturers. The decision, which was taken by Access, a consortium of regulators from the UK, Australia, Canada, Singapore and Switzerland, states that vaccine manufacturers would need to demonstrate that their modified jab produces a robust immune and antibody response using blood samples in the lab.” You can also access the story here.

US picks up vaccination pace, averaging 2M doses per day: “The average is up from one month ago, when the daily average was about 1.3 million doses.”

Outcomes and Mortality Among Adults Hospitalized With COVID-19 at US Medical Centers: “Among 192 550 adults hospitalized with COVID-19 who were discharged from 555 US medical centers, 101 089 (52.5%) were men, 83 567 (43.3%) were White, and 125 543 (65.2%) had Medicare or Medicaid insurance. The most common comorbidities included hypertension (118 418 [61.5%]), diabetes (73 939 [38.4%]), and obesity (52 759 [27.4%]).
Of patients in this cohort, 55 593 (28.9%) were admitted to the ICU, 26 221 (13.6%) died during the index hospitalization, and 5839 (3.0%) were transferred to hospice care…”

Americans are getting fewer coronavirus tests. Here’s why that’s bad.: “The average number of tests being conducted every day in America has plummeted by 33.6 percent since January, according to the Covid Tracking Project. That statistic has many experts deeply concerned because it comes just as America’s recent decrease in infections and deaths is stalling at a worrisome high level. Testing is a key tool to stopping coronavirus transmission. Without it, the virus has the potential to spread unchecked…
Some of those declines can be attributed to the overall improvement of the pandemic in the United States. With decreased cases and less transmission, fewer people have been experiencing symptoms. But there are other factors at play as the U.S. pandemic now drags on for a year: Getting tested is time-consuming. Some people also do not want to quarantine or miss work because of a pending or positive test, according to testing coordinators and experts.”

China approves sale of traditional medicine products to treat Covid-19: An interesting read. The “hard science” is still lacking.

FDA Alerts Public about Improper Use of Thermal Imaging Devices; Warns Firms for Illegally Offering Thermal Imaging Systems for Sale: The U.S. Food and Drug Administration “alerted consumers, health care providers and other users of thermal imaging systems intended to measure human body temperature—also known as telethermographic systems, infrared thermographs, thermal cameras, and ‘fever cameras’—that improper use of the systems may provide inaccurate temperature readings due to a variety of factors. Additionally, the FDA issued several Warning Letters to certain firms offering unapproved, uncleared, and unauthorized thermal imaging systems for sale.”

Scream, not swab: Dutch inventor hopes he discovered new COVID test: “Instead of unpleasant nasal swab tests, [inventor] Peter van Wees asks participants to step into an airlocked cabin and to scream, or sing. An industrial air purifier collects all the particles emitted, which are then analysed for the virus.”

About pharma

Blue Cross MN files price gouging suit against 'pharma bro' Martin Shkreli, Vyera: “In the suit, filed Thursday, the insurer says Vyera intentionally monopolized the market so it could increase prices on Daraprim—a drug used to treat infections in immunocompromised patients such as those with HIV—by more than 4,000%.
The suit names Vyera, which was formerly Turing Pharmaceuticals, alongside its parent company Phoenixus AG.”

New approaches to treating cancer with off-the-shelf immune-stimulating bispecific antibodies: “Bispecific antibodies—engineered drugs that can bind to two different tumor antigens—inhibit cancer growth by hitting multiple targets at the same time. Now three Johns Hopkins research groups are describing promising early evidence that designing bispecifics so they simultaneously bind to tumor antigens and T cells could offer a viable approach to creating off-the-shelf immuno-oncology drug treatments.
One Hopkins team zeroed in on p53, a well-known tumor-suppressor gene that becomes inactivated in some cancers, but that has proven exceptionally difficult to re-activate with drugs. The Hopkins researchers designed a bispecific antibody that could target the mutant p53 protein without interfering with intact p53 in normal cells, they explained in the journal Science.”

AstraZeneca cashes in on Moderna, collecting $1B-plus as COVID-19 added rocket fuel to the mRNA biotech's shares: “AstraZeneca cashed in its entire 7.65% take in Moderna for about $1 billion, the British pharma disclosed in its annual report (PDF). It wasn’t clear exactly when in 2020 AZ made the sale.
The revelation came weeks after Merck & Co. disclosed that it had sold off its direct Moderna holdings in the first half of the fourth quarter.”

CVS Health to invest $12.4 million in affordable housing and expand no-cost preventive health screenings in Phoenix: CVS Health “announced it will invest $12.4 million to build 60 new units of affordable housing in south Phoenix and expand the company's no-cost preventive health screening program, Project Health, in the greater Phoenix area as part of CVS Health's commitment to provide $600 million over five years to address racial inequity and social determinants of health in Black communities.”

Congress questions drug companies on opioid settlement tax deductions: The Yiddish word “Chutzpah” has been operationally defined as someone who kills his parents and then pleads for mercy because he is an orphan. This article gives pharma’s definition of this concept- companies that were penalized for their contributions to opioid abuse plan to take those payments as a tax deduction.

Walgreens expands digital services with Hinge Health, Abbott: “Walgreens is expanding its digital health partnerships so consumers can try on glasses virtually, take an at-home COVID-19 test and access mental health services.
The pharmacy retail giant is broadening offerings on the Walgreens Find Care platform to include 15 new or expanded collaborations with providers, offering easier access to care during the COVID-19 pandemic.”

About healthcare IT

Amazon’s Halo fitness tracker is getting Alexa integration: “Amazon has announced a new feature for its Halo fitness-tracking gadget: Alexa integration. With this new feature, Halo owners will be able to ask Alexa devices for various health stats, such as their sleep score or activity points obtained during the day. The integration will be off by default and owners will need the latest firmware on their Halo bands and the latest version of the iOS or Android app to enable it. Amazon says the feature rollout is starting…March 4th, and will be continuing over the next week or so.
The Halo band is Amazon’s first fitness-focused product and it’s had a less than stellar reception since it was announced last fall. Aside from the standard fitness things of tracking your movement and sleep patterns, the $99.99 Halo also has the ability to police the tone of your voice and tell you when you’re being dismissive or condescending with your words. The companion Halo app also has a feature to 3D scan your body through your phone’s camera and measure your fat composition.”

About hospitals and health systems

Sutter Health starts major financial review after posting $321M loss in 2020: “Northern California-based hospital system Sutter Health posted a $321 million operating loss for 2020, the second year in a row the system ended in the red.
The system said Thursday that it is going to start a ‘sweeping review’ of its operations and finances that will include restricting and closing some programs and services as well as seeing fewer patients.”

9 hospitals planning upgrades, expansions: This monthly update shows capital projects are continuing despite the economy.

100 top critical access hospitals, by state: “The Chartis Center for Rural Health recently released its annual list of the top 100 critical access hospitals in the U.S.
To determine the 2021 list, the Chartis Center used the Hospital Strength Index, which assesses performance in eight areas: inpatient market share, outpatient market share, quality, outcomes, patient perspective, cost, charge and financial efficiency.”

Today's News and Commentary

About Covid-19

Contagious Brazil COVID-19 variant evades immunity, scientists warn: “Out of 100 people in Manaus who had previously recovered from infection with the coronavirus, ‘somewhere between 25 and 61 of them are susceptible to re-infection with P.1,’ said Nuno Faria, a virus expert at Imperial College London, who co-led the research which has not yet been peer reviewed.
The scientists estimated that P.1 was 1.4 to 2.2 times more transmissible than the initial form of the virus.”

Coronavirus crisis unlikely to be over by the end of the year, WHO warns: “Despite the spread of Covid-19 being slowed in some countries due to lockdowns and vaccination programs, it is ‘premature’ and ‘unrealistic’ to the think the pandemic will be over by the end of the year, the World Health Organization’s executive director of emergency services has said.” And in a related article: The Potential Future of the COVID-19 PandemicWill SARS-CoV-2 Become a Recurrent Seasonal Infection?: A good discussion of this possibility.

No Special Risk for Severe COVID in Asthma— Indeed, could it be actually protective?: “Asthma patients with confirmed COVID-19 were no more likely to require hospitalization or mechanical ventilation than patients without asthma, researchers found.
Moreover, the asthma patients were less likely to die from COVID, reported Lacey Robinson, MD, of Massachusetts General Hospital in Boston, at the virtual annual meeting of the American Academy of Allergy, Asthma & Immunology (AAAAI).”

COVID-19 and Obesity: The 2021 Atlas: “This report shows that in countries where less than half the adult population is classified as overweight, the likelihood of death from COVID-19 is a small fraction – around one tenth – of the level seen in countries where more than half the population is classified as overweight. Of the 2.5 million COVID-19 deaths reported by the end of February 2021, 2.2 million were in countries where more than half the population is classified as overweight.” The studies adjusted for co-morbidities.

Graphic: Bats and the origins of outbreaks: Really interesting video. One fact: Bats are hyper- metabolic mammals (because they fly) and thus have high body temperatures. The viruses that successfully infect them are, therefore, used to this elevation. When the virus jumps to humans, our fever response does not kill them like it does with other infections.

Association between antecedent statin use and decreased mortality in hospitalized patients with COVID-19: “Among 1296 patients (648 statin users, 648 non-statin users) identified with 1:1 propensity-score matching, statin use is significantly associated with lower odds of the primary endpoint in the propensity-matched cohort (OR 0.47, 95% CI 0.36–0.62, p < 0.001). We conclude that antecedent statin use in patients hospitalized with COVID-19 is associated with lower inpatient mortality.”
This study makes you think: With all the data mining for associations between Covid-19 and [whatever is being studied], some factors are bound to emerge as highly significant. This problem is why randomized controlled trials are still needed.

About health insurance

Over 200K sign up for ACA plans during Biden special enrollment period: “More than 200,000 people signed up for health coverage on federal ObamaCare exchanges in the first two weeks of a special pandemic enrollment period, according to federal statistics released Wednesday.”

Changes in Medicare Physician Spending During the COVID-19 Pandemic: “… spending in the first six months of 2020 was $9.4 billion (19 percent) less than expected for that period based on the pre-pandemic trend. And although spending declined regardless of service type, setting or specialty, the severity of the impacts varied substantially. Telehealth spending increased dramatically during the study period but was concentrated in a handful of service categories.”

United Healthcare Advances $100 Million Fraudulent Lab Bill Suit: ”United Healthcare Services Inc. is moving forward with part of its lawsuit accusing a group of medical testing labs of running a $100 million fraudulent billing scheme after a Dallas-based federal judge trimmed a handful of the insurer’s claims.
United’s 12-count complaint includes details and examples of the allegedly fraudulent claims, together with showing knowing participation on behalf of several individual defendants, Judge Ada Brown said.”
Usually fraud of this scope involves Medicare or Medicaid. See the next article.

CEO Sentenced to Prison in $150 Million Health Care Fraud, Opioid Distribution, and Money Laundering Scheme: “The chief executive officer of a Michigan and Ohio-based group of pain clinics and other medical providers was sentenced today to 15 years in prison for developing and approving a corporate policy to administer unnecessary back injections to patients in exchange for prescriptions of over 6.6 million doses of medically unnecessary opioids.
Mashiyat Rashid, 40, of West Bloomfield, Michigan, was the CEO of the Tri-County Wellness Group of medical providers in Michigan and Ohio. In addition to the prison sentence, Rashid was also ordered to pay over $51 million in restitution to Medicare, as well as forfeiture to the United States of property traceable to proceeds of the health care fraud scheme, including over $11.5 million, commercial real estate, residential real estate, and a Detroit Pistons season ticket membership.”

The Affordable Care Act’s Insurance Marketplace Subsidies Were Associated With Reduced Financial Burden For US Adults: “Among low-income adults, Marketplace subsidy implementation was associated with 17 percent lower out-of-pocket spending and 30 percent lower probability of catastrophic health expenditures. In contrast, middle-income adults did not experience reduced financial burden by either measure. These findings highlight the successes and limitations of Marketplace subsidies as debate continues over the ACA’s future.”

Big Gap Between Physician Payments for Offices vs Hospitals, Study Shows: “Medicare payments for physician services were, on average, $114,000 per doctor per year higher when billed by a hospital than when billed by an independent physician practice, found a study of Medicare claims data from 2010-2016 in Health Services Research .
According to the study by Brady Post, PhD, Edward C. Norton, PhD, and colleagues, Medicare revenue for outpatient services billed by physician offices would have been 80% higher if they had been billed by a hospital outpatient department (HOPD). The average bundle of Medicare services performed annually by ‘unintegrated’physicians (ie, those not employed directly or indirectly by a hospital) was worth $141,000 if billed by an office and $240,000 if billed by an HOPD.
The payment differential between HOPDs and private medical offices varied markedly by specialty. The payment gap was $63,000 for primary care physicians, $178,000 for medical specialists, and $150,000 for surgeons.”

Industry Voices—Price transparency alone won't solve the healthcare cost crisis: I love this analogy: “Think about it this way: If travel booking platforms like Kayak or Google Flights only shared price information—not the brand, route, fees, or amenities—many customers would end up on Spirit Airlines flights routed through Denver with a 10-hour layover. And many wouldn’t be happy about it. Price is important, but it isn’t everything—especially when you’re choosing a heart surgeon instead of an airline.”

About healthcare IT

More Competition for Docs as Insurers Boost New Telehealth Plans?: Good review of what insurers are doing and with whom they are partnering.

MITRE launches ransomware support hub for hospitals and health systems: “Its Ransomware Resource Center offers free tools to help healthcare IT pros "better prepare for, respond to, and recover from ransomware attacks."

Use of Certified Health IT and Methods to Enable Interoperability by U.S. Non-Federal Acute Care Hospitals, 2019: Despite the date, data was gathered in 2020. Some highlights:
—About 70 percent of hospitals reported integrating data into their EHR – a nearly 15 percent increase from 2018.
— A majority of hospitals used a mix of electronic and non-electronic methods to exchange summary of care records, however use of electronic third party methods Health Information Service Providers (HISPs), HIEs, andvendor networks increased in 2019.
—The proportion of hospitals that used a national network to find (or query) patient health information increased by nearly 40 percent between 2018 and 2019.
—11% of hospitals plan to change EHR vendor by 2022
The last one was most surprising, considering the time and cost of such changes.

Common HIPAA violations physicians should guard against: “According to the OCR, they are:

  • Impermissible uses and disclosures of protected health information.

  • Lack of safeguards of protected health information.

  • Lack of patient access to their protected health information.

  • Lack of administrative safeguards of electronic protected health information.

  • Use or disclosure of more than the minimum necessary protected health information.”

About pharma

Drug industry pushes FDA to solve growing inspection backlog: “The Food and Drug Administration is under increasing pressure from the pharmaceutical industry to address the growing backlog of drug inspections — nearly a year after Covid-19 prompted the agency to halt most plant visits.
From March through September, FDA inspected just three plants outside the U.S., well below the 600-plus it visited in each of the prior two years, the Government Accountability Office said last month. FDA has also struggled to keep up with inspections within U.S. borders, conducting just 52 during the same seven-month period last year, compared with roughly 400 each in 2019 and 2018.”

About hospitals and healthcare systems

The World’s Best Hospitals 2021: FYI.

About devices

Boston Scientific to Purchase Lumenis for $1 Billion: “Boston Scientific has announced that it has agreed to acquire Lumenis, a developer of energy-based medical technology, for $1.07 billion.
The deal will earn Boston Scientific the acquired company’s laser systems, fibers and accessories designed for use in urology and otolaryngology procedures, including its MOSES laser technology, which has shown viability in managing kidney stones.”

FDA Clears Neurolief’s Noninvasive Migraine Headset: “The FDA has granted 510(k) clearance for Neurolief’s Relivion system, a noninvasive brain neuromodulation device for treating acute migraine.
The device can be used at home and is worn as a headset to deliver personalized treatment to patients who experience acute migraines. It delivers stimulation to six branches of the occipital and trigeminal nerves, using three output channels.
According to the company, the system is the first and only neuromodulation technology that has shown statistically significant efficacy in eliminating migraine symptoms within two hours after treatment.”
Fascinating technology.

10 recent drug, device approvals: An update FYI.

Today's News and Commentary

About Covid-19

WHO Rejects Hydroxychloroquine for Preventing COVID-19: We can FINALLY put this issue to rest.
Along the same lines: U.S. trial of COVID-19 blood plasma halted after no benefit found: “The U.S. National Institutes of Health (NIH) said on Tuesday that it has halted a trial of convalescent blood plasma in the treatment of patients with mild-to-moderate COVID-19 symptoms as it was unlikely to benefit this group.”
And: GSK, Vir hit as COVID-19 drug hopeful halted on possible weak efficacy in key NIH phase 3: “GlaxoSmithKline and partner Vir Biotechnology have seen a key, late-stage test of their experimental COVID-19 drug stopped for new patients amid concerns it may not be working well enough. 
In an update Wednesday morning, the two partners said a study of VIR-7831, a dual-action SARS-CoV-2 monoclonal antibody, would see enrollment stopped as an independent data monitoring board said ‘sensitivity analyses of the available data raised concerns about the magnitude of potential benefit.’”

Merck must do a new trial for faltering $425M COVID-19 drug the U.S. government asked it to buy: “Merck will no longer be able to supply the experimental COVID-19 drug from its $425 million buyout of OncoImmune to the U.S. government, from which it was granted a $356 million contract, as the FDA demanded more data…
This med, now known as MK-7110 (formerly CD24Fc) was initially used in allogeneic hematopoietic stem-cell transplant patients. But the biotech believed it could be used to help certain COVID-19 patients.”

Nanoparticle-delivered COVID-19 vaccine candidate shows promise in preclinical studies: “Other benefits of the protein nanoparticles include minimizing cellular damage and providing stronger immunity at lower doses than traditional protein subunit vaccines against other viruses, like influenza.
The team's vaccine uses the ferritin nanoparticles to deliver tiny, weakened fragments from the region of the SARS-CoV-2 spike protein that selectively binds to the human entry point for the virus (this fragment is called the receptor-binding domain, or RBD). When the SARS-CoV-2 RBD binds with the human protein called ACE2 (angiotensin-converting enzyme 2), the virus can enter host cells and begin to replicate.”

New report says failures at OSHA under Trump could have put more workers at risk during pandemic: “The OIG report bolsters complaints made by workers advocates, labor unions and other liberal groups for much of the pandemic about the way the agency fell short of its mission on workplace safety under Trump and then-Labor Secretary Eugene Scalia during an unprecedented public and occupational health crisis…
The agency received 15 percent more safety complaints between Feb. 1 and Oct. 26, the period studied in the report, than the same time frame in 2019, yet performed 50 percent less inspections, the report noted.”

LONG COVID PATIENTS SAY THEY FEEL BETTER AFTER GETTING VACCINATED: This finding is not research-based, but there are many anecdotal stories. In any case, vaccination is recommended for people previously infected.

514 million Africans risk falling below extreme poverty line in 2021 due to COVID-19: “About nine out of ten extremely poor people in the world currently live in Africa. The ECA warns that COVID19 will push an additional 5 to 29 million below the extreme poverty line. If the impact of the pandemic is not limited by 2021. An additional 59 million people could suffer the same fate, which would bring the total number of extremely poor Africans to 514 million people.”

Texas to lift statewide mask mandate, despite warnings from public health officials: “The governor's executive order, which will take effect on March 10, also lifts capacity restrictions imposed on the state's businesses. Local officials can still impose "mitigation strategies" if hospitalizations in their area surge, but are banned from punishing residents who defy mask guidance and cannot limit business capacity to less than 50%.”

Whole towns are refusing Covid-19 vaccines in Mexico: “Indigenous communities… have a history of mistrust toward the federal government. In the best of cases, community leaders say, they have been ignored. In the worst of cases, they've been subjected to land-grabs, discrimination, abuse and attacks. This time, it seems a lack of information and conspiracy theories that have spread in the region like wildfire are to blame for vaccine hesitancy.”

About health insurance

Buried in Biden's stimulus plan is a 29 percent spending hike in Obamacare subsidies: “The Congressional Budget Office estimated the stimulus provision, which increases subsidies for private plans purchased on HealthCare.gov, would cost $34.2 billion to get 1.7 million more people into the individual marketplaces. Of those, 1.3 million would be previously uninsured, while the rest would be people transitioning to marketplace plans from some other type of health coverage…
Yet the cost is more per person than the government spends to insure people through its major insurance programs, Medicare and Medicaid [emphasis in original]— and illustrates just how expensive it is to rely on the nation’s for-profit insurance industry to get Americans covered.”

Oscar Health raises $1.4bn from stock market listing: “Oscar Health, the health insurance company co-founded by Joshua Kushner, raised more than $1bn in an initial public offering that topped the company’s marketed price range, in a sign of investor confidence despite political uncertainty over the future of US healthcare. The New York-based company priced its shares at $39 each on Tuesday, according to a statement, raising about $1.4bn. Oscar would have a market capitalisation of $7.9bn at that price, based on the total number of shares outstanding.”

CMS Puts $2.3M Toward Navigator Funding for Special Enrollment: “CMS will be offering $2.3 million in additional navigator funding for grantees in light of the special enrollment period, the agency announced by email.”

Optum to acquire 715-physician group in Massachusetts: “UnitedHealth subsidiary Optum signed a definitive agreement to acquire Atrius Health, a 715-physician group based in Newton, Mass…”

Medicare Should Transform MIPS [Merit-Based Incentive Payment System] Not Scrap It: “A … practical solution would be to transform MIPS by aligning it as closely as possible with alternative payment models (APMs)—payment arrangements that more directly link payment to value-based care…
First, Medicare can couple clinicians’ performance in the Quality and Cost domains. Currently, MIPS evaluates quality and cost performance independently…
Second, Medicare could revise financial rewards in MIPS to better reflect APM incentives. Currently, MIPS incentives are structured as upward or downward reimbursement rate adjustments. This approach could unintentionally reward increased spending by paying clinicians higher rates for all services, while failing to expose clinicians to APM incentives, which are not based on reimbursement rates….
Third, Medicare should redesign MIPS to move clinicians through the program in a more explicit, predictable fashion. Currently, MIPS does not require clinicians to progress through specific competencies and milestones over time…”

Two recent JAMA articles provide great discussion points for health insurance policy discussions:
Regulation of Health Care PricesThe Case for Backstop Price Caps in Commercial Health Care Markets and
Trade-offs in Public Health Insurance Design

About pharma

Paying for Prescription Drugs in the New Administration: A good overview of policy issues with respect to pharma costs.

Factors Associated With Prescriptions for Branded Medications in the Medicare Part D Program: “This cross-sectional study of 169 million Medicare part D multisource prescription drug claims in 2017 revealed that branded drugs were dispensed because of prescriber request 16.9% of the time and because of patient request 13.5% of the time. The projected savings for switching the branded drugs requested by prescribers to generics were $997 million for Medicare and $161 million for patients; projected savings for switching patient-requested drugs were $673 million for Medicare and $109 million for patients.”

Prevalence and Persistence of Cost-Related Medication Nonadherence [CRN] Among Medicare Beneficiaries at High Risk of Hospitalization: “In this cohort study of 1655 Medicare beneficiaries, the population-adjusted prevalence of CRN was 53.6%, and 28.4% of those who reported CRN at least once had persistent CRN during the 15-month study period. Younger age, worse self-reported health, and depression were associated with greater likelihood of persistent CRN…
These findings suggest that refined predictive modeling is needed to identify patients at high risk of CRN by including multiple factors associated with CRN, including age, health perception, and depression, and possibly a broad set of other variables that were not significantly associated with CRN in this study but may be with use of a larger sample.”

FDA approves first liquid-filled aspirin capsule: “Aspirin is sold in enteric-coated and immediate-release forms. Enteric coating is designed to ensure the dosage form only fully dissolves upon reaching the small intestine, potentially reducing stomach irritation. However, there is also some evidence that the coating reduces absorption in some people, making the plain, immediate-release formulation a better option in certain situations. 
Now, PLx has provided patients with a third aspirin option. Vazalore, which comes in full-strength and low-dose versions, is a capsule that contains aspirin in a liquid form. The product is based on the PLxGuard drug delivery platform, which is designed to enable the release of the active ingredient to targeted portions of the gastrointestinal tract.”

About healthcare systems

Amazon Care, Intermountain, Ascension launch hospital-at-home healthcare alliance: “The group, dubbed Moving Health Home, will support and update healthcare policy changes to designate the home as a site of clinical service, according to a March 3 news release. 
Amazon Care, launched in 2019 to provide telemedicine and in-person primary care services to its employees, and the other Moving Health Home founders cited tech advancements including telehealth, remote monitoring, digital therapeutics and medical records sharing as contributing factors in making home care equivalent to some services offered in facilities. 
Additional founding members of the coalition include Signify Health, Landmark Health, Dispatch Health, Elara Caring and Home Instead.”

About the public’s health

Beneficial Effect of Consecutive Screening Mammography Examinations on Mortality from Breast Cancer: A Prospective Study: “Women participating in the last two breast cancer screening examinations prior to breast cancer diagnosis had the largest reduction in breast cancer death. Missing either one of the last two examinations conferred a significantly higher risk.”

2021’s Most Overweight and Obese Cities in the U.S.: The geography of this problem is obvious from the list.

Big Tobacco Wins 3rd Delay Of Graphic New Warning Labels: “A Texas federal judge on Tuesday delayed for a third time the effective date of the U. S. Food and Drug Administration's new rule requiring tobacco companies to put graphic warning labels on cigarette packs, kicking the compliance deadline that was initially set for this June to April 14, 2022.”
Perhaps a law would be better in this case than an FDA rule.

Today's News and Commentary

Too Much Choice Is Hurting America: Learning from subprime, health care and electricity: Great article from Paul Krugman in The NY Times. Here is the crux of his argument:
”But the argument that more choice is always good rests on the assumption that people have more or less unlimited capacity to do due diligence on every aspect of their lives — and the real world isn’t like that. People have children to raise, jobs to do, lives to live and limited ability to process information.
And in the real world, too much choice can be a big problem.
The lesson of subprime mortgages, health insurance and now Texas electricity is that sometimes people offered too much choice will make bigger mistakes than they imagined possible. But that’s not all. Too much choice creates space for predators who exploit our all-too-human limitations.”

About Covid-19

Global COVID-19 infections up for first time in seven weeks, WHO says: The headline speaks for itself.

Virus Variant in Brazil Infected Many Who Had Already Recovered From Covid-19: “B.1.1.7, first identified in Britain, has demonstrated the power to spread far and fast. In South Africa, a mutant called B.1.351 can dodge human antibodies, blunting the effectiveness of some vaccines.
Scientists have also had their eye on a third concerning variant that arose in Brazil, called P.1. Research had been slower on P.1 since its discovery in late December, leaving scientists unsure of just how much to worry about it.”
The concern is that this mutation may make it easier for the virus to re-infect those who previously had the disease.

Attacked and Threatened: Health care targeted in conflict and COVID-19: An interactive map showing global sites where healthcare institutions and personnel have been attacked and threatened. (Non- secure site.)

CDC says J&J Covid vaccine is OK for people who have allergic reaction to Pfizer’s or Moderna’s: “A CDC scientist said Monday that people who have an allergic reaction to the first dose of either the Pfizer or Moderna vaccine could get the J&J vaccine instead at least 28 days later.
The CDC currently recommends that people who have a severe allergic reaction to either of the two-shot vaccines not get the second shot.”

Countries urge drug companies to share vaccine know-how: “Across Africa and Southeast Asia, governments and aid groups, as well as the World Health Organization, are calling on pharmaceutical companies to share their patent information more broadly to meet a yawning global shortfall in a pandemic that already has claimed over 2.5 million lives. Pharmaceutical companies that took taxpayer money from the U.S. or Europe to develop inoculations at unprecedented speed say they are negotiating contracts and exclusive licensing deals with producers on a case-by-case basis because they need to protect their intellectual property and ensure safety.
Critics say this piecemeal approach is too slow at a time of urgent need to stop the virus before it mutates into even deadlier forms. WHO called for vaccine manufacturers to share their know-how to ‘dramatically increase the global supply.’”

Biden to announce ‘historic partnership’: Merck will help make Johnson & Johnson coronavirus vaccine, officials say: “President Biden will announce Tuesday that pharmaceutical giant Merck will help make Johnson & Johnson’s single-shot coronavirus vaccine — an unusual pact between fierce competitors that could sharply boost the supply of the newly authorized vaccine, according to senior administration officials.”

Novavax targets May approval for COVID-19 vaccine in the U.S.: “Novavax is targeting a second-quarter FDA filing for emergency use of its COVID-19 vaccine. The goal suggests the U.S. could join the U.K. on the list of countries to authorize the vaccine in the first half of the year.
The success of the vaccine in a 15,000-subject U.K. phase 3 clinical trial gives Novavax a clear path to a positive decision by the Medicines and Healthcare products Regulatory Agency (MHRA). However, the lack of data from another phase 3 trial that only recently completed enrolling 30,000 subjects in the U.S. and Mexico makes the route to a FDA OK less clear.”

7 signs those new N95s at your physician practice might be fake: “According to NIOSH [National Institute for Occupational Safety and Health] here are seven signs of counterfeit respirators that physicians and staffers at medical groups and health systems should look for:

  • No markings at all on the filtering facepiece respirator.

  • No approval number on filtering facepiece respirator or headband.

  • No NIOSH markings.

  • NIOSH spelled incorrectly.

  • Presence of decorative fabric or other decorative add-ons.

  • Claims of approval for children—NIOSH does not approve any type of respiratory protection for children.

  • Filtering facepiece respirator has ear loops instead of headbands”

A Covid Vaccine Side Effect, Enlarged Lymph Nodes, Can Be Mistaken for Cancer: “Coronavirus vaccinations can cause enlarged lymph nodes in the armpit or near the collarbone, which may be mistaken for a sign of cancer.
As vaccines are rolled out across the country, doctors are seeing more and more of these swollen nodes in recently immunized people, and medical journals have begun publishing reports aimed at allaying fears and helping patients avoid needless testing for a harmless condition that will go away in a few weeks.”

J&J COVID-19 vaccine shipping to U.S., but new deliveries hinge on regulators: “Johnson & Johnson will ship nearly 4 million doses of its newly authorized single-dose COVID-19 vaccine around the United States this week, but a top executive said on Monday that the next round of deliveries is contingent on regulatory approvals at a new plant.”

The Trump administration quietly spent billions in hospital funds on Operation Warp Speed: “The Trump administration quietly took around $10 billion from a fund meant to help hospitals and health care providers affected by Covid-19 and used the money to bankroll Operation Warp Speed contracts, four former Trump administration officials told STAT.
The Department of Health and Human Services appears to have used a financial maneuver that allowed officials to spend the money without telling Congress, and the agency got permission from its top lawyer to do so. Now, the Biden administration is refusing to say whether the outlay means there will be less money available for hospitals, physicians, nursing homes, and other providers.”

New Orleans archdiocese urges Catholics to avoid new Johnson & Johnson vaccine: “The archdiocese issued the statement on Friday (Feb. 26), stating that while the decision regarding whether to get a vaccine is an individual choice, ‘the latest vaccine from Janssen/Johnson & Johnson is morally compromised as it uses the abortion-derived cell line in development and production of the vaccine as well as the testing.’
Several COVID-19 vaccine manufacturers used cells originally derived from tissue from an aborted fetus in the 1970s, but the Moderna and Pfizer-BioNTech vaccines used the cell lines only to test their vaccines, making the ‘connection to abortion … extremely remote,’ the statement said.”

Updates on Covid-19 test approvals:
Eurofins Receives FDA Emergency Authorization for Over-the-Counter COVID-19 Test: “The at-home COVID-19 nasal polymerase chain reaction (PCR) kit can be sold directly to consumers without a prescription and can be ordered online for $99, the company said.”
Quidel’s At-Home COVID-19 Test Gets FDA EUA: “Patients using the antigen test can collect their own samples at home and do not need to send them off to a laboratory for analysis. The device is authorized for prescription home use with self-collected anterior nasal swabs from patients aged 14 and older or individuals 8 and up whose swabs are collected by an adult.”

Vaccine Significantly Lessened Asymptomatic Infections: “A single dose of the Pfizer/BioNTech vaccine significantly lowers asymptomatic SARS-CoV-2 infections, which means it also reduces the risk of transmission from asymptomatic individuals, a new UK study has shown.
Researchers at Cambridge University analyzed thousands of COVID-19 tests from staff working in a UK hospital in January and found that healthcare workers were four times less likely to become infected with COVID-19 12 days postvaccination with a single shot — and asymptomatic infections dropped by 75 percent.”

About health insurance

Highmark, HealthNow New York complete affiliation: “Highmark has completed its affiliation with HealthNow New York, bringing its membership to more than 6 million and making it the country's fourth-largest Blues plan.
Under the deal, HealthNow will be rebranded as Highmark Blue Cross Blue Shield of Western New York and Highmark Blue Cross Blue Shield of Northeastern New York. The New York insurer will maintain local leadership and offices to continue as a community presence…”

CMS pushes pause on controversial Geographic Direct Contracting model: “The Biden administration is reviewing a controversial payment model that would tie Medicare payments to spending and quality for an entire region.
The Centers for Medicare & Medicaid Services’ (CMS') webpage for the Geographic Direct Contracting model said it is currently under review in an update posted Monday.
The agency did not immediately respond to a request for comment on the reason the model was put under review nor for how long it would happen.”

Biden Administration’s Plan to Rescind States’ Medicaid Work Rules Faces Temporary Hitch: “Just weeks before President Biden took office, the Trump administration urged states in a Jan. 4 letter to sign agreements that would preserve work requirements in the program for nine months before they could be undone by the federal government. 
The letters say the Centers for Medicare and Medicaid Services, the federal agency that oversees the program, must go beyond offering states a hearing to contest changes, as is typically the case, and instead follow a longer, nine-month process for revoking the arrangements. An HHS spokesman said 17 states signed the agreements, including Georgia, Tennessee and Arkansas. 
Republican leaders in the states, having signed those agreements, say work requirements should be binding until September.”

Limiting Private Insurance Reimbursement to Medicare Rates Would Reduce Health Spending by About $350 Billion in 2021: Among findings from this Kaiser family Foundation study:

  • Total health care spending for the privately insured population would be an estimated $352 billion lower in 2021 if employers and other insurers reimbursed health care providers at Medicare rates. This represents a 41% decrease from the $859 billion that is projected to be spent in 2021.

  • Aggregate employer contributions toward employee premiums would decrease by about $194 billion, assuming employers’ share of premiums stays constant after private rates drop to Medicare levels.

  • Employees and their dependents would spend at least $116 billion less for health care, through a combination of lower premiums and out-of-pocket spending. The reduction in federal and individual spending on health care for an estimated 19 million people in the non-group market would total $42 billion.

  • Nearly half of the total reduction in spending (45%) would be for outpatient hospital services, due in part to high private rates relative to Medicare rates for outpatient care, compared to most other services. Inpatient services account for 27% of the decrease in spending, and physician office visits account for 14% of the decrease.

  • Health care spending for privately insured adults ages 55 to 64 would be an estimated $115 billion lower in 2021 if private insurers used Medicare rates—this is one third of the estimated total reduction in spending. The proportion of the decrease in spending attributable to adults 55 to 64 is roughly equivalent to their share of current spending.”

Hospitals rely on cost shifting to private insurers to make up for lower Medicare and Medicaid payments, free care and underpaid services. Where can they make up this difference? Also, private insurers would need to change from fee-for-service or per diems to DRGs to get comparable inpatient rates.

An Employer-Provider Direct Payment Program Is Associated With Lower Episode Costs: “We examined the impacts on episode cost and patient cost sharing of a program that applies bundled payments for orthopedic and surgical procedures in a commercially insured population. The program we studied negotiates preferred prices for selected providers that cover the procedure and all related care within a thirty-day period after the procedure and waives cost sharing for patients who receive care from these providers. After implementation, episode prices for three selected surgical procedures declined by $4,229, a 10.7 percent relative reduction. Employers captured approximately 85 percent of the savings, or $3,582 per episode (a 9.5 percent relative decrease), and patient cost-sharing payments decreased by $498 per episode (a 27.7 percent relative decrease).”

About pharma

AstraZeneca’s and Amgen’s Tezepelumab Slashes Severe Asthma Attacks: “AstraZeneca’s and Amgen’s biologic drug tezepelumab reduced the rate of asthma attacks by 56 percent among patients with severe and uncontrolled forms of the condition, according to their phase 3 trial results.
Tezepelumab works by blocking the action of thymic stromal lymphopoietin (TSLP), an immune protein in the lining of the lungs that plays a key role in asthma inflammation, as well as helping to alert the body’s immune system that it needs to react to a threat…
Tezepelumab improved lung function in patients, helped control asthma better and cut the risk of hospitalizations or emergency visits by 79 percent, trial data showed.”
Since the mechanism of action is new, this drug could be a real innovation in asthma treatment.

Takeda Sells Off Four Diabetes Drugs in $1.25 Billion Deal: “Takeda is divesting itself of the rights to Nesina, Liovel, Inisync, and Zafatek, transferring the assets, marketing rights and eventually marketing authorization associated with the portfolio to Teijin. The four drugs generated about $290 million in sales for Takeda in fiscal year 2019.”

Perrigo Announces Agreement To Sell Generic Rx Business For $1.55 Billion In Total Consideration: “Perrigo Company plc, a leading global provider of Consumer Self-Care Products, announced today that it has reached a definitive agreement to sell its Generic Rx Pharmaceuticals business to Altaris Capital Partners, LLC for total consideration of $1.55 billion, including $1.5 billion in cash, subject to customary adjustments. As part of the consideration, Altaris will also assume more than $50 millionin potential R&D milestone payments and contingent purchase obligations with third-party Rx partners.”

Spending For Orphan Indications Among Top-Selling Orphan Drugs Approved To Treat Common Diseases: “The Orphan Drug Act of 1983 provides benefits to promote the development of treatments for rare diseases that have limited sales potential. Policy makers have questioned whether this purpose is furthered in the case of “partial orphan drugs” approved to treat both rare and common diseases, as many of these drugs are top sellers. In this study we used national commercial claims data to estimate the proportion of spending in the US on fifteen top-selling partial orphan drugs that was assigned to orphan indications in 2018. Of this spending, 21.4 percent was assigned to orphan indications, 70.7 percent to nonorphan indications, and 7.9 percent to neither orphan nor nonorphan indications (for example, off-label use). These findings support growing concerns regarding the costs of granting orphan drug benefits to the sponsors of top-selling partial orphan drugs.”
This article is a great start for discussions centering on re-evaluating the orphan drug subsidies.

About healthcare IT

Principal Deputy Inspector General Grimm on Telehealth: Among the messages in this announcement: “We are aware of concerns raised regarding enforcement actions related to ‘telefraud’ schemes, and it is important to distinguish those schemes from telehealth fraud. In the last few years, OIG has conducted several large investigations of fraud schemes that inappropriately leveraged the reach of telemarketing schemes in combination with unscrupulous doctors conducting sham remote visits to increase the size and scale of the perpetrator's criminal operations. In many cases, the criminals did not bill for the sham telehealth visit. Instead, the perpetrators billed fraudulently for other items or services, like durable medical equipment or genetic tests. We will continue to vigilantly pursue these ‘telefraud’ schemes and monitor the evolution of scams that may relate to telehealth.”

USDA invests $42M in telehealth infrastructure: “In a move to help rural residents gain access to healthcare and educational opportunities, the United States Department of Agriculture is investing $42.3 million in telemedicine and distance learning infrastructure.
Rural areas have greater infection and death rates from COVID-19 because of several factors, including a much higher percentage of underlying conditions, difficulty accessing medical care and lack of health insurance.
The $42.3 million in awards includes $24 million provided through the CARES Act. The investments will benefit five million rural residents in total.”

About hospitals and health systems

Three articles on financial performance:
How CHS, HCA, Tenet and UHS fared in Q4
UPMC annual operating revenue hits $23B: 5 notes
The Challenging Future of the Chicago Safety Net: “The most important safety net hospitals on the city's west and south sides are projected to reach a compounded operaAng loss of $1.76 billion in the coming years.
Based on historical financial trends and our longitudinal modeling, the seven primary safety net hospitals on Chicago’s south side (Advocate Trinity1, Roseland Community, St. Bernard, Holy Cross, Mercy, Jackson Park, and South Shore) are projected to endure a total loss of $1.34 billion by 2024.
The safety net hospital cohort to the city’s west (consisAng of Mount Sinai, LoreZo, St. Anthony, AMITA Health Saint Mary, Elizabeth Medical Center - Saint Mary Campus2, and Norwegian) will bear $421 million in compounded operaAng losses over the same period.”
Start to read about possible solutions to the problem on page 37.

About healthcare personnel

High Nursing Staff Turnover In Nursing Homes Offers Important Quality Information: “Mean and median annual turnover rates for total nursing staff were roughly 128 percent and 94 percent, respectively. Turnover rates were correlated with facility location, for-profit status, chain ownership, Medicaid patient census, and star ratings. Disseminating facilities’ nursing staff turnover rates on Nursing Home Compare could provide important quality information for policy makers, payers, and consumers, and it may incentivize efforts to reduce turnover.”

Today's News and Commentary

About Covid-19

FDA authorizes Johnson & Johnson’s single-shot coronavirus vaccine, adding to the nation’s arsenal against the pandemic:”The new vaccine, which is for adults 18 and older, has clear practical and logistical advantages over the first two vaccines — it does not have to be kept frozen, and there is no need for a second round of appointments. That makes it a boon for rural areas and other hard-to-reach communities, and for distribution to community health centers and physician offices that might not have the freezers needed for the other vaccines, public health officials say.”

US diagnostics company calls for national Covid testing guidelines: ”Thomas Polen, BD’s chief executive, said there had been a lot of talk on how to roll out rapid testing from airports to stadiums but companies were holding back from making large orders of tests until they knew what the rules were. He said the world was at a ‘transition point’ in testing, as the tests for symptomatic patients fall but orders for tests in ‘non-traditional’ settings have yet to ramp up. He said these organisations needed to know how often to test and how they would be expected to report the data.”

Biden Administration Strengthens Requirements that Plans and Issuers Cover COVID-19 Diagnostic Testing Without Cost Sharing and Ensures Providers are Reimbursed for Administering COVID-19 Vaccines to Uninsured: From CMS. The headline speaks for itself.

Exclusive: Hackers Break Into ‘Biochemical Systems’ At Oxford University Lab Studying Covid-19: “Oxford University confirmed on Thursday it had detected and isolated an incident at the Division of Structural Biology (known as ‘Strubi’) after Forbes disclosed that hackers were showing off access to a number of systems. These included machines used to prepare biochemical samples, though the university said it couldn’t comment further on the scale of the breach. It has contacted the National Cyber Security Center (NCSC), a branch of the British intelligence agency GCHQ, which will now investigate the attack.”

Have a case of a COVID variant? No one is going to tell you: “COVID-19 infections from variant strains are quickly spreading across the U.S., but there’s one big problem: Lab officials say they can’t tell patients or their doctors whether someone has been infected by a variant.
Federal rules around who can be told about the variant cases are so confusing that public health officials may merely know the county where a case has emerged but can’t do the kind of investigation and deliver the notifications needed to slow the spread, according to Janet Hamilton, executive director of the Council of State and Territorial Epidemiologists.”

Lilly announces additional doses of neutralizing antibody therapy purchased by U.S. government to treat COVID-19: “The U.S. government has agreed to purchase a minimum of 100,000 doses of bamlanivimab (LY-CoV555) 700 mg and etesevimab (LY-CoV016) 1400 mg together, Eli Lilly and Company announced. Bamlanivimab and etesevimab together recently received emergency use authorization for the treatment of recently diagnosed, mild to moderate COVID-19 in patients who are at high risk of progressing to severe COVID-19 and/or hospitalization.”

About healthcare IT

More than 350K health records breached in February: More details here and at the HHS website.

Machine learning method accurately spots premalignant colon polyps: “Using radiomics, the system correctly differentiated between benign and potentially cancerous polyps more than 80% of the time, the data showed.
Radiomics is an analytical process allowing additional information to be gleaned from medical images, providing views of scans that are impossible with the naked eye.”
More precisely, the results have a sensitivity of 82%, and a specificity of 85%. But it would need to be a lot better to avoid unnecessary biopsies.

USQHIN ANNOUNCES THE LAUNCH OF THE NATIONAL ADT HUB NETWORK: “The National ADT Hub Network is USQHIN’s first use case and aims to foster collaboration between vendors, health information exchanges, health systems, government agencies, and health insurers. By working together, participating ‘Gateway Partners’ demonstrate their commitment to addressing individual patient well-being, critical national public health needs, and the greater good.
ADT notifications are sent when a patient is admitted to a facility, transferred within the facility, or discharged from the facility. Notifications are then sent to update physicians and care management teams on a patient’s status, thus improving post-discharge transitions, prompting follow-up, reducing readmissions, improving communication among providers, and supporting patients with multiple or chronic conditions. They can also serve an important role in being able to distribute demographic data and other attributes about patients quickly and efficiently to a patient’s extended care team.”

Bipartisan bills gain support for telehealth reform, SDOH coordination: “The new bipartisan Leveraging Integrated Networks in Communities (LINC) to Address Social Needs Act was introduced by  Senators Dan Sullivan, R-Alaska, and Chris Murphy, D-Connecticut.
The LINC to Address Social Needs Act would offer one-time seed funding for states to help establish communication between social service providers and healthcare organizations for referral, capacity management, and outcome tracking between social service providers and healthcare organizations.”

Teladoc's virtual visits reach 3M during Q4 as revenue grows to $383M: “Teladoc's 2020 revenue reached $1.1 billion as virtual care visits continued to soar.
The telehealth giant reported it delivered 10.6 million virtual visits last year, up 156% from 2019. The company's U.S. paid membership hit 51.8 million, up about 41% from 36.7 million users in 2019.
Teladoc, one of the nation's top telehealth providers, reported 3 million total virtual visits during the fourth quarter, up 139% from 1.2 million visits in the fourth quarter of 2019.”

Allscripts reports $414M in Q4 with strong growth in its Veradigm data business: “Allscripts is seeing strong growth in its life sciences data business as the market heats up among large health IT vendors.
That business, along with the steady return of patient volumes among its provider clients, helped the electronic health record (EHR) vendor post $414 million in revenue in the fourth quarter of 2020. Revenue was down 8% from $451 million a year ago.
The Chicago-based company reported full-year 2020 revenue of $1.6 billion, down 8% from $1.8 billion, according to 2020 and fourth-quarter earnings results.”

About hospitals and health systems

FTC drops challenge to Philadelphia health system merger: “The Federal Trade Commission is no longer challenging the merger between Jefferson Health and Einstein Healthcare Network, clearing the way for the two Philadelphia-based health systems to combine.”

Mayo Clinic annual revenue grows to $13.9B: “For the 12-month period ended Dec. 31, the 51-hospital system recorded revenue of $13.9 billion, a 1.5 percent increase from the same period one year prior. Mayo Clinic saw its medical service revenue drop slightly year over year to $11.5 billion, down from $11.6 billion recorded in 2019. 
Mayo Clinic saw its expenses rise year over year to $13.2 billion, a 3.3 percent increase year over year. The health system attributed the expense increase to the unpredictability of the pandemic.”

About the public’s health

FDA clears novel neck collar to help protect student athletes' brains from sports-related injuries: “The FDA has cleared a new type of device worn around the back of the neck by athletes ages 13 and up, to help protect them from brain injuries caused by typically lighter, but repeated, impacts during sports.
The Q-Collar, developed by Q30 Innovations, doesn’t replace helmets or shoulder pads, but simply compresses the veins of the neck to increase the amount of blood around the brain. This helps cushion it within the skull, from hits that may not be enough to cause concussions on their own but can add up over time.”

About health insurance

It's like the Obamacare repeal-and-replace fight all over again: Reconciliation bills may be the only way Senate Democrats can pass health insurance legislation, for example, to modify ACA eligibility. This article is a great explanation of what this process allows and doesn’t allow.

Today's News and Commentary

About Covid-19

BREAKING: FDA Panel Clears J&J COVID-19 Vaccine For Emergency Use: “A U.S. Food and Drug Administration panel approved Johnson & Johnson's request for emergency use authorization of its COVID-19 vaccine Friday, clearing the way for a third vaccine that J&J said is safe and offers strong protection against severe disease, hospitalization and death.
The committee voted to back emergency use unanimously 22 to 0 with no abstentions, the last step before the FDA decides whether to issue an emergency use authorization, or EUA, which is a quicker process than seeking full FDA approval. While the FDA doesn't have to follow the committee's advice, it often does and is expected to approve the EUA soon.”

Biden marks 50 million coronavirus vaccines but warns virus fight not over: “Biden said the vaccine count marked major progress toward reaching and surpassing his administration’s goal of getting 100 million shots in the arms of Americans in his first 100 days in office…
Some public health experts have criticized Biden’s goal of 100 million vaccinations in 100 days as too low.”

New COVID-19 deaths in U.S. rise to highest level in 2 weeks: “The data show an addition of almost 75,000 COVID-19 cases nationwide on Wednesday, a slight increase over the day before but still way down from the peak in the middle of January.”

FDA allows storage, transport of Pfizer vaccine at higher temperatures: “The U.S. Food and Drug Administration on Thursday approved storage and transportation of COVID-19 vaccine developed by Pfizer Inc and German partner BioNTech SE at standard freezer temperatures for up to two weeks instead of ultra-cold conditions.”

COVID-19 vaccine websites violate disability laws, create inequity for the blind: “Many COVID vaccination registration and information websites at the federal, state and local levels violate disability rights laws, hindering the ability of blind people to sign up for a potentially lifesaving vaccine, a Kaiser Health News investigation has found.”

KFF COVID-19 Vaccine Monitor: February 2021: A great update with charts as recent as 3 days ago.

COVID-19 vaccine vial maker Stevanato preps IPO valuing it at up to $5 billion: sources: “Italy’s Stevanato Group, manufacturer of glass vials for COVID-19 vaccines and other healthcare products, is making plans for an initial public offering this year that could value the company at between $4 billion-$5 billion, three sources with knowledge of the situation told Reuters.”

Lilly scores $210M supply deal for newly authorized coronavirus antibody cocktail: “ Eli Lilly on Friday scored a government supply deal for its newly authorized antibody cocktail, which dramatically reduced deaths and hospitalizations in a late-stage trial. 
Lilly agreed to sell the U.S. government 100,000 doses of the bamlanivimab-etesevimab combination for $210 million. The doses will be delivered before the end of March, and the government has the option to purchase 1.1 million more doses through Nov. 25 depending on demand.”

About pharma

Watch out, Novo Nordisk. Lilly's new dual action diabetes med could pressure Ozempic: analyst: “Novo Nordisk’s Ozempic is already duking it out with Eli Lilly’s Trulicity in the once-weekly diabetes treatment field. But looming competition from the Indianapolis pharma could pose a serious threat, especially at its lowest tested dose, one analyst said.
That’s the tentative conclusion Bernstein analyst Ronny Gal reached after delving into results from three phase 3 clinical trials of Eli Lilly’s investigational drug candidate tirzepatide, a dual GIP/GLP-1 agonist.
Data unveiled from the SURPASS-3 and -5 trials last week showed the drug was able to significantly drive down blood sugar levels as well as body weight at all three dosing levels tested.”

The CRO megamerger is back as Icon snaps up PRA Health for $12B: “Icon is getting out its checkbook in a massive $12 billion buyout of PRA Health.
The deal sees Icon stump up that sum in a cash and stock transaction, and it's around a 30% premium to PRA’s closing price as of Feb. 23. This comes after a tough year for Icon, which, in the spring last year, amid the height of the first pandemic wave, was forced to slash costs due to the COVID-19 disruptions to its business, while around a third of trial sites were hit.”

Orna Therapeutics Launches with over $100M Raised to Develop a New Class of Fully Engineered Circular RNA Therapies: “Orna's engineered circular RNAs have several key advantages, including superior protein expression, simpler and more cost-effective manufacturing, and improved delivery. Unlike other RNA therapies, oRNA does not require the addition of cap or tail structures and does not require the use of modified nucleotides to address innate immune responses. In addition, oRNAs are designed to drive unparalleled protein production while resisting degradation inside the body.”

AbbVie, Eli Lilly lead Big Pharma's 2020 market cap growth as Merck, Gilead lag: The headline speaks for itself. More details in the article.

Moderna expects $18.4bn from Covid vaccine deals this year: “The Boston-based biotech’s coronavirus vaccine revenue forecast is far higher than the $11.2bn analysts had predicted for 2021, as well as the $15bn that Pfizer said it expected when it reported earnings this month. Moderna said this number could rise because it was in discussions with governments about more vaccine orders for 2021 and 2022, as well as Covax, the vaccination programme for the developing world.”

Merck & Co. to buy Pandion for $1.85 billion, gaining autoimmune drug pipeline: ”Merck & Co. announced Thursday a definitive agreement to acquire Pandion Therapeutics for $60 per share in cash, representing an equity value of approximately $1.85 billion. The purchase will hand Merck a clutch of experimental drugs, including lead candidate PT101, that target a range of autoimmune diseases…
PT101 is an engineered IL-2 mutein fused to a protein backbone designed to activate and expand regulatory T-cells (Tregs) as a potential treatment for ulcerative colitis and other autoimmune diseases.”

Small Odds Humira Patents All Invalid 'Worries' 7th Circ: “Do Humira buyers need to prove every single patent in the ‘thicket’ surrounding AbbVie's blockbuster immunosuppressant was invalid to show the drug giant is illegally shielding the biologic from competition? A Seventh Circuit judge seemed to think so Thursday on a divided panel weighing whether to revive the lawsuit. Circuit Judge Frank H. Easterbrook hit the plaintiffs with their toughest questions during oral arguments, pressing Tom Sobol of Hagens Berman Sobol Shapiro LLP to explain how they can accuse AbbVie of protecting the world's best-selling drug with a thicket containing many allegedly ‘overlapping and non-inventive’ patents even though they were granted. . .”
This case has very important implications for drug patent protections. A common strategy is for pharma companies to get as many patents as possible on each of their products so that competitors will need to successfully challenge all of them.

About hospitals and health systems

Brookdale Selling Majority Stake in Home Health Business to HCA Healthcare: ”Brookdale has agreed to sell 80% of the equity in Brookdale Health Services to the Nashville, Tennessee-based HCA Healthcare for a purchase price of $400 million.”

UHS records $944M annual profit, notes cyberattack loss of $67M: “Despite COVID-19 expenses and taking a $67 million hit from a cyberattack last year, King of Prussia, Pa.-based Universal Health Services ended 2020 with a $944 million profit, according to financial documents released Feb. 25. This net income was a growth of 15.8 percent year over year. 
In the 12 months ended Dec. 31, the for-profit hospital operator saw its revenue hit $11.6 billion in 2020, up slightly from $11.4 billion recorded in 2019. It also saw its expenses rise less than 1 percent to $10.2 billion.
After factoring in the expenses, UHS recorded an operating income of $1.4 billion for 2020, up from $1.2 billion recorded in 2019. 
UHS also said the cyberattack experienced from Sept. 27, 2020 into October 2020, negatively affected its financial results. UHS said that it was forced to divert patients to competitor facilities, saw significant increases in labor expenses to restore its networks and saw administrative functions such as coding and billing delayed into December, "which had a negative impact on our operating cash flows during the fourth quarter of 2020."

About healthcare IT

Cigna's Evernorth to acquire telehealth company MDLive: “Cigna will acquire telehealth platform MDLive, the insurer announced Friday morning.
Cigna has been a longtime partner of and investor in MDLive and will fold it into its Evernorth subsidiary, which houses its health services business. The deal is expected to close in the second quarter of 2021, pending regulatory approvals.”

Allscripts Announces Fourth Quarter 2020 Results and Outlook For 2021:

  • “Fourth quarter GAAP EPS of $4.82; 71% year-over-year growth in non-GAAP diluted EPS to $0.29

  • Closed sales of EPSi and CarePort Health and recognized a combined pre-tax gain of $1.2 billion

  • Repurchased $280 million of stock in the quarter and ended the quarter in a net cash position”

Telehealth company sues HHS for allegedly excluding overseas physicians: “RemoteICU wants to compel Medicare to pay for telehealth services provided by overseas physicians amidst an intensivist shortage and the pandemic.
RemoteICU wants to compel Medicare to pay for telehealth services provided by overseas physicians amidst an intensivist shortage and the pandemic.”

About health insurance

Fort Worth Doctor Sentenced to 10 Years in Health Care Fraud Conspiracy: “A Fort Worth osteopath who attempted to incinerate clinic records has been sentenced to 10 years in federal prison for his role in a $10 million healthcare fraud…
Mark Kuper, the 43-year-old owner of the Texas Center for Orthopedic and Spinal Disorders (TCOSD), was indicted in June 2020. The defendant admitted he fraudulently billed insurers for services the clinic never actually rendered, including physical therapy and psychotherapy, and required patients to attend these bogus appointments in order to receive Schedule II controlled substance prescriptions.
He also admitted that he gave his wife access to the secure device and passcode he used to sign controlled substance prescriptions, allowing her to improperly dispense pain medications on her own initiative, without his input.”

Priority Healthcare Settles Diabetes Test Lawsuit with Roche for $43 Million: “Priority Healthcare will pay Roche Diagnostics $43.3 million to settle a lawsuit alleging that it fraudulently submitted claims to insurers and pharmacy benefit managers for Roche’s Accu-Chek blood glucose test strips that put Roche on the hook for tens of millions of dollars.
Roche claimed in its 2018 complaint that it had to pay more than $37.5 million in “unwarranted” rebates to insurance companies and PBMs for blood-glucose testing strips that either were different, pricier versions of the test strips patients actually received or were not shipped to patients at all. Roche also contended that Priority Healthcare’s efforts to introduce new pharmacies caused it to pay millions of dollars per year in unwarranted rebates for the tests.”

About healthcare professionals

Traumatized and tired, nurses are quitting due to the pandemic: While the headline speaks for itself, the article provides insights via interviews with nurses on the front lines.

About the public’s health

Stopping Menthol, Saving Lives: “For more than 60 years and continuing today, the tobacco industry has targeted Black communities, especially children, with marketing for menthol cigarettes and other tobacco products like flavored cigars.
The industry’s predatory marketing has had a devastating impact on Black health and lives. Tobacco use is the number one cause of preventable death among Black Americans and menthol cigarettes are a major reason why. Black Americans die at higher rates than other groups from tobacco-related diseases such as cancer, heart disease and stroke. To make matters worse, Black Americans are now being disproportionately impacted by COVID-19 and the CDC has found that current and former cigarette smokers are at greater risk for severe illness from COVID-19.”

Today's News and Commentary

About Covid-19

CDC Launches Web Tool To Help Americans Find COVID-19 Vaccines: The “Centers for Disease Control and Prevention, in partnership with Boston Children's Hospital and Castlight Health, is launching a new tool that allows Americans to search for COVID-19 vaccine providers with stock of vaccine where they live.The tool, which builds on the existing VaccineFinder.org platform, will capture inventory data from vaccine providers around the country.”

Biden administration to distribute more than 25 million masks: “The Biden administration will deliver more than 25 million masks to community health centers, food pantries and soup kitchens this spring as part of its battle against the coronavirus pandemic, the White House said on Wednesday.”

Clinical Reference Laboratory Makes First At-Home COVID-19 Saliva Test Available Through Walgreens Find Care®: “Clinical Reference Laboratory (CRL), one of the largest privately held clinical testing laboratories in the U.S., and Walgreens today announced that the FDA-authorized CRL Rapid Response COVID-19 Saliva Test is now available through Walgreens Find Care®, a digital health platform available on the Walgreens app and Walgreens.com. Sold under CRL’s HealthConfirm® brand, the COVID-19 Saliva Test is non-invasive and highly accurate, offering consumers the convenience of self-collecting the test right in their homes without supervision.”

Real-Time Conformational Dynamics of SARS-CoV-2 Spikes on Virus Particles: “The SARS-CoV-2 spike protein has been observed to adopt different structural states. Lu et al. directly visualize the conformational dynamics of spike protein on the surface of virus particles and describe how the conformational landscape changes upon activation by the host receptor or antagonism by antibodies.”
Such knowledge can be used to make more effective vaccines.

White House to ship 3 million to 4 million doses of Johnson & Johnson vaccine to states: “The Biden administration is planning to send states, pharmacies and community health centers 3 million to 4 million doses of Johnson & Johnson's coronavirus vaccine as early as next week, a White House official said Wednesday.”

Researchers find worrying new coronavirus variant in New York City: “Two separate teams of researchers said this week they have found a worrying new coronavirus variant in New York City and elsewhere in the Northeast that carries mutations that help it evade the body's natural immune response -- as well as the effects of monoclonal antibody treatments.
Genomics researchers have named the variant B.1.526. It appears in people affected in diverse neighborhoods of New York City, they said, and is ‘scattered in the Northeast.’
One of the mutations in this variant is the same concerning change found in the variant first seen in South Africa and known as B.1.351. It appears to evade, somewhat, the body's response to vaccines, as well. And it's becoming more common.”

Finland finds new COVID-19 variant that may not show up in PCR test: “The variant, Fin-796H, showed similar mutations from variants discovered in the UK and South Africa but also its own characteristics. 
Taru Meri, researcher of Helsinki-based Vita Laboratories, said the variant was found in a patient last week so it is unclear how easily the virus can spread or if it's resistant to available vaccines.
Meri said it is unlikely the variant emerged in Finland as the country has a low infection rate of the COVID-19. 
The researchers of Vita Laboratories also said it is worth noting that the new variant could escape detection in a PCR test (Polymerase Chain Reaction test), which identifies specific genetic sequences in the virus. 
A researcher said ‘the newly-discovered variant differs from expectations in that it does not genetically resemble any other known variant.’”

New research shows California coronavirus variant is more transmissible: “A coronavirus variant detected in California this winter rapidly became dominant in the state over five months and now makes up more than half of the infections in 44 counties, according to new research from scientists who believe this version of the virus should be declared a ‘variant of concern warranting urgent follow-up investigation.’”

HHS will stop distributing COVID-19 antibody drugs, says they're no longer in short supply: The headline speaks for itself.

Three-shot combo? Pfizer, BioNTech roll COVID-19 booster trial as real world data back first vaccine: “…the companies are in talks with the FDA and EMA about studying a new booster specifically designed to tackle new variants. They're hoping to validate ‘future modified mRNA vaccines with a regulatory pathway similar to what is currently in place for flu vaccines,’ according to a press release.
BioNTech CEO Ugur Sahin said the partners are ‘evaluating a second booster in the current regimen as well as preparing for a potential rapid adaption of the vaccine to address new variants which might escape the current version of our mRNA-based vaccine.’”

'It's Up To You': “The Ad Council is launching a national campaign to promote taking available coronavirus vaccines and a website with answers about their safety.” You should watch this short video and think about its possible effectiveness.

About healthcare IT

Email hack exposes 45,000 patients' data at Covenant HealthCare: “Covenant HealthCare has confirmed that an unauthorized individual gained access to two employees' email accounts, potentially exposing about 45,000 patients' information.
The accounts were accessed May 4, 2020, and contained patients' personal information like names, addresses, Social Security numbers, and medical diagnosis and clinical information. 
An FBI investigation found that hackers repeatedly combined vulnerable user IDs with different passwords until a combination worked, allowing them to access the two email accounts…”

Teladoc loses $394M in Q4: 6 things to know: The company provided a partial explanation: “Net loss for the fourth quarter and full year 2020 also includes $54.7 million of stock-based compensation related to Livongo stock awards that continue to vest after the merger. Net loss also includes an income tax benefit of $85.5 million for the fourth quarter 2020 and $90.9 million for the full year 2020.”

20 medical apps most downloaded by iPhone users: Epic’s MyChart tops the list.

Eli Lilly to connect its upcoming digital insulin pen with Welldoc’s diabetes app: “Eli Lilly & Co. has signed a deal to link Welldoc’s digital health platform with its upcoming connected insulin devices and therapies.
The two will collaborate on a new version of Welldoc’s long-running BlueStar diabetes management app, to include dosing data for several insulins produced by Lilly, ahead of the Big Pharma’s future launch of its connected insulin pen.
The BlueStar app has been cleared by the FDA for adults with Type 1 or Type 2 diabetes, offering insulin titration support, a bolus calculator and personalized health coaching. It is designed to integrate with a range of blood sugar readers and continuous glucose monitoring systems.”

About pharma

Merck inks $1.9B Pandion takeover to square up against Amgen, Lilly and Roche: ”Merck has struck a $1.9 billion deal to buy Pandion. The takeover will give Merck control of a pipeline of immune modulators led by a rival to IL-2 drugs in development at Amgen, Eli Lilly and Roche. 
Pandion went public last year, pulling in $135 million to fund the development of a pipeline led by an engineered IL-2 mutein fused to a protein backbone. The clinical-phase drug, PT101, is designed to selectively activate and expand regulatory T cells (Tregs) and, in doing so, treat autoimmune diseases including ulcerative colitis.”

Merck rolls first Gardasil TV commercial that pushes HPV vaccines for adults: “After years of encouraging parents to vaccinate their kids against HPV, Merck & Co. is launching its first Gardasil campaign aimed at adults.
The TV commercial features a man getting ready to run in a 5K race raising money for cancer…
It's part of a DTC campaign aimed at adults ages 27-45, which includes placements on broadcast, cable, syndication and streaming platform as well as YouTube. Print ads and promotional placement in doctors' offices and pharmacies are also in the mix.”

Head of McKinsey Is Voted Out as Firm Faces Reckoning on Opioid Crisis: “Partners at McKinsey & Company voted out the consulting firm’s top executive, Kevin Sneader, this week as it continues to face blowback over its role in fueling the opioid crisis.
The decision to deny Mr. Sneader a second three-year term as global managing partner came in a vote by more than 600 senior partners, according to a company executive.”

About health insurance

Cost Could Still Be A Deterrent In ACA Special Enrollment Period: “Although 4.0 million uninsured Americans qualify for free bronze level plans during the special enrollment period, deductible costs could continue to be a deterrent.”

Becerra commits to private-sector Medicare but indicates it is too generous: “Xavier Becerra, President Biden’s nominee to lead the Department of Health and Human Services, pledged Wednesday to support Medicare Advantage, the increasingly popular private form of the federal insurance system for older Americans — but indicated he had qualms about more generous benefits it offers.
Testifying at a confirmation hearing before the Senate Finance Committee, Becerra said he ‘will make sure that there is a level playing field’ between traditional Medicare and the private-sector version.”
He apparently does not understand the MA plans. They need to bid to get a government contract and the extra benefits they provide are often free to members. Traditionally they have made money reducing discretionary hospital stays- the most costly (and wasteful) part of healthcare expenses.

2 Californians sentenced for national ACA fraud scheme: “The father, Jeffrey White, was sentenced to three years in prison, and his son Nicholas White was sentenced to 13 months in prison for the scheme, which is believed to be the first to involve fraudulent enrollment in ACA plans on a national scale.
To defraud healthcare programs operating in the ACA marketplaces across the nation, the Whites would enroll individuals in ACA plans in states where the people didn't live, according to court documents and statements made in court. To enroll individuals in the plans, the Whites created fake residential leases and phone numbers for the individuals, according to the Justice Department.
They also paid insurance premiums for the individuals and paid to have them transported to California, where they were placed in residential substance abuse treatment programs, the department said. These programs then billed the ACA plans for thousands of dollars and paid the Whites thousands of dollars in kickbacks for each referral, according to the Justice Department.
The Whites admitted that the scheme defrauded more than $27 million from ACA plans across 12 states.”

Trend Toward More Expensive Inpatient Hospital Stays in Medicare Emerged Before COVID-19 and Warrants Further Scrutiny: From the HHS OIG: “Hospitals are increasingly billing for inpatient stays at the highest severity level, which is the most expensive one. The number of stays at the highest severity level increased almost 20 percent from FY 2014 through FY 2019, ultimately accounting for nearly half of all Medicare spending on inpatient hospital stays. The number of stays billed at each of the other severity levels decreased. At the same time, the average length of stay decreased for stays at the highest severity level, while the average length of all stays remained largely the same. 
Stays at the highest severity level are vulnerable to inappropriate billing practices, such as upcoding-the practice of billing at a level that is higher than warranted. Specifically, nearly a third of these stays lasted a particularly short amount of time and over half of the stays billed at the highest severity level had only one diagnosis qualifying them for payment at that level. Further, hospitals varied significantly in their billing of these stays, with some billing much differently than most…
Accordingly, we recommend that CMS conduct targeted reviews of MS-DRGs and stays that are vulnerable to upcoding, as well as the hospitals that frequently bill them. CMS did not concur but acknowledged that there is more work to be done to determine conclusively which changes in billing are attributable to upcoding.”

About hospitals and health systems

COVID-19 in 2021: The Potential Effect on Hospital Revenues: This Kauffman Hall report finds that hospital losses this year could range from $55-$122B.

Today's News and Commentary

From 340B to price transparency: Here are 3 takeaways from Becerra's confirmation hearing: Good summary of yesterday’s hearings.

About Covid-19

FDA review confirms safety and efficacy of single-shot Johnson & Johnson coronavirus vaccine, especially against severe cases: “A Food and Drug Administration review released Wednesday of the single-shot coronavirus vaccine made by pharmaceutical giant Johnson & Johnson found it was safe and effective and completely prevented hospitalizations and deaths in a large clinical trial.
The review sets the stage for a third coronavirus vaccine to be authorized as soon as this weekend…” In a related article: Johnson & Johnson ready to ship nearly 4 million doses of COVID-19 vaccine in U.S.: “Richard Nettles, Vice President of Medical Affairs at J&J unit Janssen Pharmaceutical, said the company expects to deliver 20 million doses of the vacine by the end of March.”

AstraZeneca expects U.S. COVID-19 vaccine authorization in April: “AstraZeneca Plc expects its COVID-19 vaccine could receive U.S. Emergency Use Authorization at the beginning of April and could immediately deliver 30 million doses of the shot there, a top executive said at a hearing in the U.S. House of Representatives on Tuesday.”

When Could the United States Reach Herd Immunity? It’s Complicated.: Lots of “ifs” in answering the question. The article does a great job explaining different scenarios. If we continue at our current pace with vaccination and controlling infection, my guess is November.

U.S. Federal Regulators Expected To Allow Pfizer-BioNTech Vaccine To Be Stored At Standard Freezer Temperatures: The headline speaks for itself.

Moderna sends COVID-19 booster shot for NIH testing as it hikes production targets past 2B doses: “Moderna on Wednesday said it's now on track to produce 700 million vaccine doses this year, and it's still aiming for 1 billion at the high end. Last year, the company had said 500 million would be its minimum output this year, and it ratcheted up that minimum to 600 million in January.
And for 2022, the biotech is planning for 1.4 billion doses—or perhaps even 2 billion, depending on the dose required for booster shots targeting new variants. The company has shipped a booster candidate to the National Institutes of Health for testing, according to Wednesday's statement; it's targeted specifically at the South Africa variant now worrying public health experts.”

About healthcare IT

Cleveland Clinic, Amwell joint venture launches virtual 2nd opinions service: “The Cleveland Clinic and telehealth company American Well are offering virtual medical second opinions as part of their telehealth joint venture.
The Clinic by Cleveland Clinic aligns the hospital's clinical expertise with innovative digital health technologies to provide easier access to leading medical expertise—ultimately driving better decisions, improved patient outcomes and lower costs, the organization said.
Monday, The Clinic launched its new website and brand identity.”

2 More Telehealth Bills Return to Congress For Another Try: “Two popular telehealth bills that failed to make it through last year’s Legislature are being reintroduced this week on Capitol Hill, adding to a growing number of connected health bills aimed at continuing the momentum for telehealth beyond the coronavirus pandemic.
On Monday, Senators Rob Portman (R-OH) and Sheldon Whitehouse (D-RI) re-submitted the Telehealth Response for E-prescribing Addiction Therapy Services (TREATS) Act, which would make permanent certain emergency actions passed during the coronavirus pandemic to boost telehealth access for substance use disorder (SUD) treatment.”

Microsoft updates Cloud for Healthcare with new virtual care, patient monitoring features: “The tech giant announced its Cloud for Healthcare service back in October that brings together existing services such as Microsoft Teams, Azure IoT and chatbots to help healthcare organizations manage operations.
The first update will be available in April and includes services for care plan management and will support eight additional languages.”

About the public’s health

Fructose reprogrammes glutamine-dependent oxidative metabolism to support LPS-induced inflammation: In other words, the fructose that is common in fast foods has a pro-inflammatory effect on our immune systems.

About pharma

UCB taps Microsoft to accelerate drug discovery, clinical trials: “UCB and Microsoft have entered into a multiyear strategic collaboration. The deal will see Microsoft use its capabilities in computational services, cloud computing and artificial intelligence to support drug discovery and development at UCB…
Belgium’s UCB is also looking to identify other areas of its operation that could benefit from AI and additional computing power. UCB is yet to name areas it is exploring, saying only that the work will span ‘every part of the drug discovery and delivery value chain”’and is intended to accelerate the development of life-changing treatments in immunology and neurology.”

Retail Health Clinic Engagement Rising; May Be Key to Supercharging COVID-19 Vaccine Rollout:

  • “Nearly half (48%) of retail pharmacy customers used at least one health and wellness service in 2020, up significantly from 2019 (43%)

  • One in five (20%) customers spoke to a pharmacist during their visit, up from 16% in both 2018 and 2019

  • When customers use two or more health and wellness services, overall customer satisfaction and brand advocacy increases, and average customer spending doubles”


About health insurance

Impact of Policy Options for Reducing Hospital Prices Paid by Private Health Plans: From RAND: “In this report, we focus on policies that address prices paid to hospitals by private health plans. We analyze the impact of three policy options—regulating hospital prices, improving price transparency, and increasing competition among hospitals—on hospital spending by employer-sponsored and individual market plans and their enrollees. For each policy option… we explore key considerations and estimate the potential impact on hospital prices and spending using data from the CMS Hospital Cost Report Information System.” A summary is on this page. You can click the pdf for the full report.

Carrum Health First to Launch Bundled Cancer Care for Employers in Collaboration with Memorial Sloan Kettering: A bit of hype…and it is not the first cancer care bundle.
”Carrum Health, the first digital health company connecting employers and employees to Centers of Excellence (COEs) through a technology-powered platform… announced that it is extending its COE model into oncology with the industry's first-ever cancer care bundle. Working in collaboration with Memorial Sloan Kettering Cancer Center (MSK), Carrum Health will offer comprehensive bundles that cover in-person treatment at MSK for eligible patients with breast and thyroid cancers, as well as remote diagnosis, treatment planning, and care guidance for all forms of cancer. For breast and thyroid cancers, the bundle includes complete medical treatment for up to two years….”

Expanding Premium Tax Credits to Middle-Income Families Would Reduce the Number of People Uninsured and Increase Marketplace Enrollment: “In this brief, we analyze a policy that would expand Marketplace premium tax credits by raising the eligibility cutoff from 400 to 600 percent of the federal poverty level (FPL). The policy would lessen the financial burden of high premiums for such families and increase Marketplace enrollment for this group. A potential drawback, however, is that some employers might stop offering employer-sponsored insurance to their workers. However, we find such concerns unwarranted. Research shows most employers responded the Affordable Care Act (ACA) by increasing the rate at which they offer insurance to their employees. Incorporating that evidence, our analysis finds extending the eligibility cutoff for Marketplace premium tax credits to 600 percent of FPL would decrease the number of people uninsured by more than 116,000, and 48,000 people with non-ACA-compliant coverage would enroll in Marketplace plans. Together, these effects would move 164,000 people into plans providing minimum essential coverage.”

Survey: Healthcare Costs Loom Large Among Women Medicare Recipients:
“Key findings:

  • Almost two-thirds of women (66%) are concerned about their ability to pay for future healthcare compared to just over half (51%) of men.

  • 18% of women report trouble paying for prescription drugs within the last year, compared to just 11% of men.

  • Six in 10 (60%) women said Democrats would better protect Medicare, compared to roughly four in 10 (43%) men.”



Today's News and Commentary

About Covid-19

Coronavirus (COVID-19) Update: FDA Issues Policies to Guide Medical Product Developers Addressing Virus Variants: Yesterday, the “U.S. Food and Drug Administration issued guidances for medical product developers, specifically covering vaccines, diagnostics and therapeutics products, to address the emergence and potential future emergence of variants of SARS-CoV-2, the virus that causes COVID-19.”
One major update is guidance for vaccine modifications to combat variants. Akin to influenza vaccine policy, such Covid-19 vaccine modifications will not have to conduct the same extensive testing as new products.

At least 44.5 million people have received one or both doses of the vaccine in the U.S.: “This includes more than 19.9 million people who have been fully vaccinated. 82.1 million doses have been distributed.”

‘Held to ransom’: Pfizer demands governments gamble with state assets to secure vaccine deal: “Pfizer has been accused of ‘bullying’ Latin American governments in Covid vaccine negotiations and has asked some countries to put up sovereign assets, such as embassy buildings and military bases, as a guarantee against the cost of any future legal cases…
In the case of one country, demands made by the pharmaceutical giant led to a three-month delay in a vaccine deal being agreed. For Argentina and Brazil, no national deals were agreed at all.”
While the alleged demands are excessive, it does raise the issue of liability for an essential global product.
This concern is addressed in this related article: No-fault compensation programme for COVID-19 vaccines is a world first: “The World Health Organization (WHO) and Chubb Limited (NYSE: CB), through ESIS Inc., a Chubb company, signed an agreement on behalf of the COVAX Facility on 17 February 2021 for the administration of a no-fault compensation programme for the 92 low- and middle-income countries and economies eligible for support via the Gavi COVAX Advance Market Commitment (AMC) of the COVAX Facility.”

Pharmacists say 'pooling' Covid vaccines could save thousands of doses: “Inova pharmacists did an experiment, taking 100 vials that had residual vaccine. Eighty of them had significant amounts left over. The pharmacists found that with the vaccine left in the 80 vials, they could make 40 additional full doses. That meant that on a typical vaccination day, when the hospital will typically give more than 4,000 shots, it could give an additional 400 vaccination shots with the same supply.
Even though pooling is common [with other injectables], the FDA says pharmacists and other clinicians cannot pool leftover Covid-19 vaccine because neither Moderna's nor Pfizer's products contain preservatives, which help stop microbial growth in case the vaccine is contaminated with bacteria or other germs.”

J&J Seeks WHO Emergency Use Listing for COVID-19 Vaccine: “Johnson & Johnson (J&J) has filed with the World Health Organization (WHO) for an Emergency Use Listing (EUL) for its COVID-19 vaccine — a listing that would clear the way for the vaccine to be distributed through the WHO’s COVAX vaccine-sharing program.
J&J reached an agreement in December with Gavi, the Vaccine Alliance, a co-leader of COVAX, to provide up to 500 million vaccine doses through 2022.”

UK real-world data show COVID-19 vaccine linked to lower infection, hospitalisation rates: “Data from new analyses were released Monday shedding light on the short-term impacts of COVID-19 vaccinations in the UK. One analysis from Public Health England's (PHE) SIREN study appears to corroborate early evidence that Pfizer and BioNTech's vaccine BNT162b2 offers high levels of protection against infection and symptomatic disease from the first dose, while another conducted by Public Health Scotland (PHS) indicates that COVID-19 vaccinations have lowered the risk of serious disease by cutting hospital admittance rates. Neither is peer-reviewed and both were released as preprints by The Lancet…
Results, which focused on Pfizer's vaccine, demonstrated that BNT162b2 was 72% effective at reducing the risk of symptomatic and asymptomatic infection 21 days after the first dose, rising to 86% seven days after the second in the antibody-negative cohort. Overall, hospitalisation and death from COVID-19 declined by over 75% in those who received a dose of the vaccine.”

OCR lifts HIPAA fines for use of COVID-19 vaccine scheduling tools: “Healthcare organizations won't be penalized for potential Health Insurance Portability and Accountability Act (HIPAA) violations related to the good faith use of online or web-based scheduling applications for COVID-19 vaccine appointments.
The Office for Civil Rights (OCR) at the U.S Department of Health and Human Services announced (PDF) this week that it won't enforce fines against providers when using apps and other digital tools that don't fully comply with HIPAA.”

Pfizer eyes higher prices for COVID-19 vaccine after the pandemic wanes: exec, analyst: “A top Pfizer exec said the drugmaker aims to charge more after the ‘pandemic pricing environment,’ and an influential analyst says the company could be eying prices 3 to 4 times higher.”

About health insurance

Biden administration asks U.S. Supreme Court to dump Medicaid work case: “President Joe Biden’s administration on Monday asked the U.S. Supreme Court to cancel an upcoming oral argument on a policy introduced under his predecessor Donald Trump backing work requirements for people who receive healthcare under the Medicaid program for the poor.
Acting Solicitor General Elizabeth Prelogar said the Biden administration has started the process of reversing the previous policy and asked the justices to dump the scheduled March 29 arguments concerning pilot programs adopted by the states of Arkansas and New Hampshire.”

Affordable Coverage Coalition Principles for Extending Coverage and Protecting Patients: This statement by a number of major healthcare organizations calls for principles to implement universal healthcare coverage. The initiative is based on ACA expansion. For example: “Ensure everyone with an income up to 138 percent of the federal poverty level has comprehensive coverage. To provide incentives for states that have not yet expanded Medicaid to act, Congress should again fund a three-year, 100 percent federal match for Medicaid expansion.”

Health Care Reform: One (Percent) Step At A Time: This article from Health Affairs (open access) reviews 16 strategies for saving health costs- each having an impact of <1%. They add up to 8.87% savings. For a country with about 3.7 trillion in healthcare spending, that’s about $337 billion less cost. The authors are part of the 1% Steps for Health Care Reform Project.

Oscar Health, Inc. Announces Launch of Initial Public Offering: “Oscar Health, Inc. (“Oscar”)… announced the launch of its initial public offering of 31,000,000 shares of its Class A common stock. The offering consists of 30,350,920 shares of Class A common stock offered by Oscar and 649,080 shares of Class A common stock to be sold by certain of Oscar’s existing stockholders.”
The offering could raise more than $1 Billion.

About pharma

High Court Knocks Out PBM Group's 8th Circ. Preemption Win: “The U. S. Supreme Court struck down a win Monday for a trade group that brought an ERISA case challenging North Dakota's oversight of the pharmacy benefit manager industry, sending the suit back to the Eighth Circuit for another look in light of the justices' recent Rutledge ruling. The justices granted the Pharmaceutical Care Management Association's petition for them to take up the case, then vacated the group's Eighth Circuit victory in a deregulation fight invoking the Employee Retirement Income Security Act.”
For background on the case, see: Eighth Circuit: State’s PBM Law Preempted by ERISA, Unenforceable.

Charles River Buys Cognate BioServices for $875 Million: “Charles River Laboratories is acquiring Cognate BioServices, a Baltimore, Md.-based cell and gene therapy contract development and manufacturing firm for $875 million.
The Cognate BioServices acquisition will provide biopharmaceutical clients ‘an integrated solution to help accelerate their cell and gene therapy programs from discovery and nonclinical development through commercialization,’ said Charles River CEO James Foster.”

Johnson & Johnson tots up a potential $4B talc bill as tens of thousands of lawsuits pile up: “Johnson & Johnson has been battling for years against lawsuits claiming its talc powders cause cancer, but now investors are getting a sense of what the litigation could cost the drug giant. And it's about twice as much as J&J had figured on last year.
In an annual filing with the SEC, J&J said its multibillion-dollar 2020 litigation expense is “primarily associated with talc related reserves and certain settlements” worth $3.9 billion. The company faces 25,000 lawsuits alleging the household products cause cancer, and it's still in the process of appealing a massive verdict out of Missouri.”

Today's News and Commentary

About Covid-19

Prospective mapping of viral mutations that escape antibodies used to treat COVID-19: “Here we map how all mutations to the receptor binding domain (RBD) of SARS-CoV-2 affect binding by the antibodies in the REGN-COV2 cocktail and the antibody LY-CoV016. These complete maps uncover a single amino acid mutation that fully escapes the REGN-COV2 cocktail, which consists of two antibodies, REGN10933 and REGN10987, targeting distinct structural epitopes. The maps also identify viral mutations that are selected in a persistently infected patient treated with REGN-COV2 and during in vitro viral escape selections. Finally, the maps reveal that mutations escaping the individual antibodies are already present in circulating SARS-CoV-2 strains.[Emphasis added]

U.S. nears 500,000 COVID-19 deaths as Biden plans commemoration: “While the number of COVID-19 cases fell for the fifth straight week and officials scrambled to inoculate the population, the nation was poised to reach 500,000 deaths from the highly infectious respiratory disease.”

Finnish Nasal Vaccine Meant to Stop Coronavirus 'Completely' to Start Human Tests This Summer: “If successful, the news source said the nasal vaccine would be a major improvement over vaccines currently in use, and potentially eliminate the risk of the virus mutating in vaccinated individuals.
Additional advantages of the single-dose Finnish vaccine are that it can be stored at refrigerator temperature and is inexpensive to produce, the news source added.
However, with the nasal approach, doctors have less control over how large a dose the patient actually receives, compared to an injection.”

World Bank pushing for standard vaccine contracts, more disclosure from makers: “The World Bank is looking to standardise COVID-19 vaccine contracts that countries are signing with drugmakers, as reported in National Post.
In addition, the World Bank is pushing manufacturers to be more open about where vaccine doses are headed.
The bank’s International Finance Corp has $4 billion to invest in expanding existing production plants or building new ones, but World Bank president David Malpass said it needs more data on where current production is headed.”

After Pfizer deal, Sanofi offers a hand to Johnson & Johnson for COVID-19 vaccine production: “The deal follows a separate agreement for Sanofi to turn out 100 million doses of the Pfizer-BioNTech vaccine for Europe this year. 
When J&J's one-dose-and-done vaccine scores an authorization, Sanofi will give the company access to its plant in Marcy l’Etoile, France. Workers there will formulate the J&J vaccine and fill vials, and the site will turn out around 12 million doses per month, Sanofi said.”

About pharma

Hide-and-Seek Can Lead to Higher Drug Prices: An interesting European study about the effects of drug rebates on cost. Since we face the same issues it is worth a read.

Approval and Coverage of Cancer Drugs in England, Canada, and the US: Another fascinating international comparison driven by factors such as differences in surrogate endpoints and cost-benefit calculations.

The 10 most-anticipated drug launches of 2021: At the top of the list: “No other pending drug approval faces more skepticism on one hand, and more cheerleading on the other, than Biogen’s anti-amyloid beta antibody aducanumab for Alzheimer’s disease.”

Most, least expensive US cities for prescription drugs: No surprise that NYC is most expensive. Denver tops the least expensive list.

About the public’s health

Justices To Review 'Gag Rule' On Abortion Referrals: “The U. S. Supreme Court on Monday agreed to examine a Trump administration ‘gag rule’ that would prohibit physicians from referring patients to abortion providers, taking up a controversial case that has divided lower courts. The justices will review a U. S. Department of Health and Human Services regulation — upheld by the Ninth Circuit but blocked nationwide by the Fourth Circuit — that would bar doctors who receive federal funds for family planning services from helping patients access abortion services.”

About healthcare professionals

‘I Am Worth It’: Why Thousands of Doctors in America Can’t Get a Job: “Medical schools are producing more graduates, but residency programs haven’t kept up, leaving thousands of young doctors ‘chronically unmatched’ and deep in debt.”

About healthcare IT

Breaches Cost US Healthcare Organizations $13bn in 2020: “Last year saw a double-digit surge in the volume of healthcare data breach incidents in the US, with over 26 million people affected… incidents increased by over 55% on 2019 figures to reach 599 breaches in the sector, impacting over 26.4 million people.
The vast majority (67%) were down to ‘hacking and IT incidents’ stemming from external attackers. This category also accounted for larger breaches than the others, amounting to over 91% of compromised records.”

Do Medical Scribes Help Primary Care Providers Respond More Quickly to Out-of-Visit Tasks?: “Our study suggests that scribes are not associated with improved time to completion of inbox messages for PCPs. While scribes seem to have many benefits, our study suggests they may not improve time to completion of out-of-visit tasks. Reducing the time to completion for these tasks likely requires other interventions targeted to achieve those outcomes.”

Today's News and Commentary

Walmart is slowing its ambitious push into healthcare, employees and leaked documents reveal: The company is not now sure of the direction or pace of its actions in healthcare.

About Covid-19

White House announces $4 billion in funding for Covax, the global vaccine effort that Trump spurned: “At a Group of Seven meeting of leaders of the world’s largest economies Friday, President Biden will announce an initial $2 billion in funding for Gavi, the Vaccine Alliance, to be used by the Covax Facility, senior administration officials said in a briefing.
The United States will release an additional $2 billion over two years once other donors have made good on their pledges and will use this week’s G-7 summit to rally other countries to do more.”

Why grandparents can’t find vaccines: Scarcity of niche biotech ingredients: “Acuitas Therapeutics, a tiny biotechnology firm in Vancouver, B.C., has just 30 employees and leases its labs from the University of British Columbia. The company doesn’t even have a sign on its building. Until last year, it outsourced production of only small volumes of lipid nanoparticles, fat droplets used to deliver RNA into cells, for research and a single approved treatment for a rare disease.
But now, one of Acuitas’s discoveries has become a precious commodity. A proprietary molecule called an ionizable cationic lipid is a crucial piece of the mRNA vaccine made by Pfizer and its German partner BioNTech, and it is in urgent demand for production of billions of vaccine doses worldwide.”

Pfizer wants to store vaccine at higher temperatures, making distribution easier: “The companies have submitted new temperature data to the FDA to support an update to the current label that would allow vials to be stored at -25 to -15 degrees Celsius (-13°F to 5°F) for a total of two weeks.
The current label requires the vaccine to be stored at temperatures between -80ºC and -60ºC (-112ºF to -76ºF), meaning it has to be shipped in specially designed containers.”

US will not send vaccines to developing countries until supply improves: “The US will not donate any coronavirus vaccine doses to developing countries until there is a plentiful supply of jabs in the US, Biden administration officials said on Thursday in a firm rejection of a proposal made by Emmanuel Macron, president of France.”

EU Unveils Vaccine Incubator to Combat COVID-19 Variants: “A new initiative under the EU’s Health Emergency Response Authority (HERA), the HERA Incubator will adopt the same approach as is used for the annual flu vaccine, the European Commission said.
The incubator will bring together researchers, biotech companies, manufacturers, regulators and public authorities to ‘monitor variants, exchange data and cooperate on adapting vaccines,’ the commission said.”

AI-based voiceprint screener for COVID-19 nets European approval: “Using artificial intelligence software to analyze a multitude of voice recordings, Vocalis has secured a CE mark for the use of its digital COVID-19 screening programs in Europe.
Run off a smartphone, the user records themselves counting up from 50 to 70 while the program analyzes the quality of their voice and searches it for signs associated with the disease. Though not a diagnostic itself, Vocalis believes it could be a useful tool to screen large populations of people and point those at the highest risk of infection toward the clinic.”

Novavax, coronavirus shot data in hand, strikes an eye-popping supply deal with global vaccine consortium: “Novavax on Thursday unveiled a memorandum of understanding with Gavi, the Vaccine Alliance, to provide 1.1 billion doses of its coronavirus vaccine candidate to COVAX, a global effort to ensure equitable vaccine distribution. The Serum Institute of India will help produce doses under a prior deal between that company and Gavi.
The deal will support work by Gavi, the Coalition for Epidemic Preparedness Innovations and the World Health Organization to distribute doses in every country worldwide.”

About healthcare IT

A retrospective look at the predictions and recommendations from the 2009 AMIA policy meeting: did we see EHR-related clinician burnout coming?: “At the 2020 annual meeting of the American College of Medical Informatics (ACMI), ACMI fellows participated in a modified Delphi process to assess the accuracy of the 2009 predictions and the response to the recommendations. Among the findings, the fellows concluded that the degree of clinician burnout and its contributing factors, such as increased documentation requirements, were significantly underestimated. Conversely, problems related to identify theft and fraud were overestimated. Only 3 of the 15 recommendations were adjudged more than half-addressed.”

IBM Explores Sale of IBM Watson Health: “IBM is studying alternatives for the unit that could include a sale to a private-equity firm or industry player or a merger with a blank-check company, the people said. The unit, which employs artificial intelligence to help hospitals, insurers and drugmakers manage their data, has roughly $1 billion in annual revenue and isn’t currently profitable, the people said.
Its brands include Merge Healthcare, which analyzes mammograms and MRIs; Phytel, which assists with patient communications; and Truven Health Analytics, which analyzes complex healthcare data.”

About the public’s health

U.S. will pay WHO more than $200 million in membership fees withheld by Trump: The headline speaks for itself.

Five chronic conditions cost employers over $2.5 billion over two years: “Companies spent $2.5 billion to treat employees' asthma, diabetes, hypertension, mental health and substance abuse and back disorders over the course of two years, according to a new study. UnitedHealthcare reviewed all claims issued by the Health Action Council's 57 nationwide employer members—which are responsible for coverage of 281,000 individuals—to find that more than 60% of workers struggle with at least one of these chronic conditions, making them the top cost drivers in employer healthcare.”
See, also: Health and Economic Costs of Chronic Diseases from the CDC. That site adds: “Nothing kills more Americans than heart disease and stroke. More than 868,000 Americans die of heart disease or stroke every year—that’s one-third of all deaths. These diseases take an economic toll, as well, costing our health care system $214 billion per year and causing $138 billion in lost productivity on the job.” Note the magnitude differences.

South Carolina passes abortion ban, Planned Parenthood sues: “As one of the most restrictive abortion bans, the so-called ‘fetal heartbeat’ law bans abortion after a fetal heartbeat is detected, often at six weeks and before a woman realizes she is pregnant.”

About pharma

Federal judge dismisses hospital groups' lawsuit against HHS over 340B drug feud: “ A federal judge has dismissed a lawsuit filed by several hospital groups seeking to get the Department of Health and Human Services (HHS) to clamp down on drugmakers restricting access to products.
Federal Judge Yvonne Gonzalez Rogers issued a ruling Wednesday that hospitals had to use a new dispute resolution process to settle the feud with the drugmakers, which the hospitals cannot sue individually under federal law for 340B violations.”

Trump Drug Rebate Policy Delayed Until 2023 After Court Ruling: See the HHS announcement for more details.

AbbVie, Eli Lilly lead Big Pharma’s 2020 market cap growth as Merck, Gilead lag: “Among the top 10 companies with the largest market cap as of the end of 2020, AbbVie enjoyed the biggest year-over-year growth—a whopping 44.4% to $189.2 billion, according to numbers compiled by GlobalData. The Illinois pharma doesn’t have any prominent COVID products.
In contrast, COVID-19 vaccine makers Pfizer and AstraZeneca both failed to beat their pre-COVID market valuation. It’s worth noting that Gilead Sciences, which sells the only fully FDA-approved COVID drug, Veklury, also saw its market cap drop—by 11.2% in its case—though it’s not a member of the top 10 class.”

Pharma's reputation rehab: A whopping two-thirds of Americans now offer a thumbs-up, Harris Poll finds: “Almost two-thirds of Americans now give the pharma industry a thumbs up. It’s a stunning reversal from just one year ago when only about one-third (32%) rated the industry positively, according to The Harris Poll surveys.
In its most recent February poll, 62% rated the pharma industry as a 5, 6 or 7 on a 7-point scale, with 1 equating to ‘very bad’ and 7 to ‘very good.’That’s an increase of 30 percentage points since January 2020, before the pandemic hit U.S. shores.”

About hospitals and health systems

CommonSpirit's net income triples to $1.9B in Q2: “CommonSpirit, a 140-hospital system based in Chicago, saw revenues rise in the second quarter of fiscal year 2021 and ended the period with a net gain, which was fueled by strong investment income growth. 
CommonSpirit, formed in 2019 through the merger of San Francisco-based Dignity Health and Englewood, Colo.-based Catholic Health Initiatives, reported revenues of $8.3 billion in the second quarter of fiscal 2021, up from $7.5 billion a year earlier.”
It will be interesting to see if other systems report positive results based on increases in the market value of their investments.

Medicare Cuts Payment to 774 Hospitals Over Patient Complications: “The federal government has penalized 774 hospitals for having the highest rates of patient infections or other potentially avoidable medical complications. Those hospitals, which include some of the nation’s marquee medical centers, will lose 1% of their Medicare payments over 12 months.
The penalties, based on patients who stayed in the hospitals anytime between mid-2017 and 2019, before the pandemic, are not related to covid-19.”

Today's News and Commentary

AMA removes public displays of founder over past racism, discrimination“The American Medical Association removed some recognitions of its founder, Nathan Davis, MD, whose actions explicitly excluded women and Black physicians from representation in the association. 
The association removed a bust and display of Dr. Davis in its Chicago headquarters and placed them in its archives to use as educational material. The association also removed his name from an annual award it gives to individuals for outstanding government service.”

About Covid-19

C.D.C. Announces $200 Million ‘Down Payment’ to Track Virus Variants“As lawmakers push for billions of dollars to fund the nation’s efforts to track coronavirus variants, the Biden administration announced on Wednesday a new effort to ramp up this work, pledging nearly $200 million to better identify the emerging threats.” In a related article: Biden administration will spend $1.6B to expand COVID-19 testing, sequencing.

Businesses, public health organizations form alliance to strengthen COVID-19 response“The Ad Council, Business Roundtable, the CDC Foundation, the de Beaumont Foundation and the Robert Wood Johnson Foundation have jointly formed the Health Action Alliance, which will assist a participating network of businesses in improving their workers' health, providing COVID-19 prevention and vaccination information and strengthening their public health capabilities.
Another focus, the organizations said, is on improving health equity and assisting underserved and disproportionately impacted communities.
Initial participants in the program include big names such as Amazon, CVS Health, Facebook, JPMorgan Chase, Comcast, Walgreens and Walmart. The alliance is backed by impact firm Meteorite…”

On social media, vaccine misinformation mixes with extreme faith“The rapid spread of this material has triggered debate and concern among U.S. Christian leaders and experts who believe the religious movement against vaccines is growing, even as many leaders such as Pope Francis and Southern Baptist Convention policy leader Russell Moore are urging people to get shots.”

U.K. gets approval to infect healthy volunteers in world’s first coronavirus ‘challenge trial’”Britain will become the first country to deliberately infect healthy volunteers with the coronavirus, now that the country's ethics body has approved a ‘human challenge trial.’
The effort, funded by the British government, aims to accelerate scientific understanding of vaccines and treatments.
The first stage will begin within the month and see up to 90 adults, age 18 to 30, exposed to the coronavirus “in a safe and controlled environment” to gauge the smallest amount of virus needed to cause infection, the government said in a statement Wednesday.”

BioNTech/Pfizer vaccine is less potent against South African variant“The BioNTech/Pfizer Covid-19 vaccine appears to be significantly less effective against the virus variant that emerged in South Africa, according to a study published on Wednesday. The vaccine still works against the strain known as 501Y.V2, but the shot produced only a third of the antibodies that it did for the original virus in a lab study using an engineered virus. The partners said there was ‘no clinical evidence’ that people vaccinated with their Covid-19 shot lacked protection against the variant. It is hard to draw firm conclusions from lab experiments on how the vaccines will work on the variants in humans.”
In a related article, SARS-CoV-2 Variants of Concern in the United States—Challenges and Opportunities, authors also express concern about reduced immune response to new variants. 
It should be noted that many of the studies are lab-based and focus only on antibody responses, not cellular immune responses.

About the public’s health

CDC: U.S. life expectancy fell by a year during first half of 2020 due to COVID-19“ Life expectancy in the United States declined by a year during the first half of 2020, due in large part to the impact of the COVID-19 pandemic, according to data released Thursday by the U.S. Centers for Disease Control and Prevention.
From January through June of last year, life expectancy at birth for the total population of the United States was 77.8 years, down from 78.8 years in 2019.”

USPSTF Advises Screening for Gestational Diabetes Mellitus: “The U.S. Preventive Services Task Force (USPSTF) recommends gestational diabetes mellitus (GDM) screening at or after 24 weeks of pregnancy in asymptomatic individuals. This recommendation forms the basis of a draft recommendation statement published online Feb. 16.”

About health insurance

Biden picks another Obama veteran to oversee Medicare, Medicaid“President Biden has selected Chiquita Brooks-LaSure to lead the Centers for Medicare and Medicaid Services, filling a major role in his health-care leadership team, according to four people who spoke on the condition of anonymity because they were not authorized to discuss the decision.
Brooks-LaSure served in the Obama administration as a senior CMS official who helped implement the Affordable Care Act’s coverage expansion and insurance-market reforms. She also worked on Capitol Hill as a Democratic staff member for the House Ways and Means Committee, building ties with then-Rep. Xavier Becerra, Biden’s choice to lead the Health and Human Services department and who sat on the committee at the time.”

Trends in Low-Value Health Service Use and Spending in the US Medicare Fee-for-Service Program, 2014-2018“This study found that among individuals with fee-for-service Medicare receiving any of 32 measured services, low-value care use and spending decreased marginally from 2014 to 2018, despite a national education campaign to address low-value care and increased attention on reducing health care waste.” 
Reimbursement changes “from volume to value” have not yet been implemented. Until they are, we cannot expect to see these changes.

Biden admin appears to withdraw final rule aimed at streamlining prior authorization“The Biden administration appears to have withdrawn a rule finalized last minute by the Trump administration that aims to streamline prior authorization, a major source of provider administrative burden… that press release no longer appears on CMS’ website, and the rule does not appear in the Federal Register.
CMS did not say why the rule appeared to be withdrawn.”

Biden wants a 'public option' health plan. Two Senate moderates say they have just the billCalled Medicare-X, it would not lower the age of eligibility to 60 as had been previously discussed, but it proposes to: 

  • “Allow Medicare to pay 50 percent more to rural hospitals and providers, up from a 25 percent allowance.

  • Require marketplace plans to fully cover primary care services with no cost-sharing for patients.

  • Fix the so-called “family glitch” in the Affordable Care Act, which bases a family's eligibility for marketplace subsidies on whether an employee's offer of workplace coverage was affordable for the individual but not necessarily affordable for the whole family.”

In a related article: Democrats' plan to expand ACA insurance would cost about $53B, CBO estimates.

Appeals court strikes down oncology group's lawsuit aimed at rolling back Medicare sequestration cuts“A federal appeals court has struck down the Community Oncology Alliance’s lawsuit [filed in 2018] to get rid of a 2% cut to Medicare Part B payments installed via sequestration.” 
Unfortunately since it was decided on jurisdictional grounds, the decision did not clarify this issue.

How Aetna, Anthem, Humana, Cigna and UnitedHealth performed in Q4A good summary of the results. Keep in mind that CVS and UnitedHealth have incomes from non-health insurance sources (pharmacy and Optum-related services, respectively). 

About hospitals and health systems

Association of Inclusion of Medicare Advantage Patients in Hospitals’ Risk-Standardized Readmission Rates, Performance, and Penalty Status“In this cohort study, the inclusion of data from MA patients changed the penalty status of a substantial fraction of US hospitals for at least 1 of 3 reported conditions [acute myocardial infarction (AMI), congestive heart failure (CHF), or pneumonia]. This suggests that policy makers should consider including all hospital patients, regardless of insurance status, when assessing hospital quality measures.”

CHS sheds 18 hospitals, swings to $511M profitBigger is not always better (or more profitable). “Franklin, Tenn.-based Community Health Systems, which operates 85 hospitals in 16 states, saw revenues decline in 2020 but ended the period in the black…
Looking at full-year 2020 results, the company posted net income of $511 million on revenues of $11.8 billion, compared to a net loss of $675 million on revenues of $13.2 billion in 2019.” 

10 hospitals planning upgrades, expansionsFYI. Still amazed at the continued expansions.