Patients, providers and payers are expected to feel the brunt of the GOP's reform bill. But potential reforms are also generating uncertainty that is trickling down to the health IT industry.
Smaller digital health startups are pivoting toward consumers because the uncertainty surrounding an ACA repeal has left providers hesitant to invest in new technology, according to the Wall Street Journal.
“In the end, it will be a scalability issue,” Lee Perlman, president of GNYHA Ventures Inc., the for-profit arm of the Greater New York Hospital Association told WSJ. “If forced to choose between providing basic patient care and new investment, basic patient care will win.”
On Wednesday, the Congressional Budget Office estimated that 23 million Americans would lose insurance by 2026 under the American Health Care Act (AHCA), reinforcing deep concerns among several provider associations.
RELATED: Despite regulatory uncertainty, digital health investment remains steady
After House Republicans passed the AHCA earlier this month, provider executives reiterated fears that the bill will make deep cuts to Medicaid and leave fewer Americans with health insurance coverage.
Digital health investments have remained steady through the first quarter of 2017 despite regulatory uncertainty that has caused some payer and providers to pull back on IT investments. However, one health IT venture capitalist told the newspaper investors are more cautious about sinking money into health technology startups.
RELATED: Health IT leaders mixed on potential ACA repeal, replace
Hospital IT leaders have been mixed about the prospect of an ACA repeal and replace. Some IT executives told FierceHealthcare they were concerned any reimbursement changes would leave IT departments with less money to spend on new technology, while other integrated systems said they were well-suited to adapt to any changes.