By David Kopf
Once again, HME Business profiles key technologies, regulatory trends and market opportunities that will impact HME providers’ businesses this year. Some are items that have had an ongoing impact on providers, and others are new members to our annual list. What remains the same is the challenge providers face in dealing with massive changes while still striving to ensure their businesses continue to grow will providing quality service to their patients.
By Rob Brant
Providers can control the fate of their businesses by supporting the MPP.
Why has CMS set its sights on power mobility providers and patients?
The Big 10
The challenges facing oxygen providers in 2012 are the result of public policies that were developed several years ago. The impact of these challenges, and how providers continue to redefine their businesses to not only survive them, but thrive despite them is a story that continues to unfold in 2012.
The MPP provides a competitive approach to setting Medicare reimbursement rates for HME, but does so in a way that is actually competitive.
Undeniably, software has become an essential asset for well-managed HME businesses. Because Medicare has been cut so deeply, HME providers have to come up with a whole new world of cost savings.
There is no doubt that private payor funding will see change in 2012 and perhaps even bigger change during the next.
No other trend in the Big 10 for 2012 will influence the course of the HME industry more than how Round Two plays out.
The Big Ten
Cash sales continues to be a key element of our Big 10 for 2012. There’s no doubt that it will continue to be a central dynamic in the evolution of the HME industry for this year and beyond.
There simply no denying that bariatrics is an important patient market that providers must serve. It constitutes a significant portion of the U.S. population, possesses a wide variety of needs for home medical equipment and related services.
Audits were the biggest issue immediately threatening the industry through 2011, and while the industry deals with the bidding of Round Two of competitive bidding, and works to advance the marketing pricing program as an alternative, audits will remain a serious issue for 2012.
There are many lessons to learned in retail sales, and merchandising is a critical course.
Where providers once saw the funding for those PMDs come in one installment, thus covering their initial investment for the expensive equipment, now they had to transition to a rental model.
Home access services and products are becoming an increasingly important segment of the HME market as considerable cuts to Medicare funding have slashed provider revenues and cash flow so severely that HMEs must find new revenue sources.
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