Morning Briefing
Summaries of health policy coverage from major news organizations
Survey Finds Physicians Doubt Insurers' Pledge To Ease Prior Authorization Woes
Physicians remain skeptical that health insurers' pledges to ease prior authorization hassles will result in any meaningful action, an American Medical Association (AMA) survey found. In June 2025, a group of about 60 insurers said that they would standardize electronic prior authorization by the end of 2026 to help speed up the process. They also said they would reduce the scope of claims subject to medical prior authorization, and would honor the pre-approvals of a previous insurer for a window of time after someone switches plans. (Frieden, 5/14)
Health insurance companies including UnitedHealth Group and Elevance Health are bolstering their reserves to safeguard against tougher times ahead. Several major insurers conveyed confidence and raised earnings guidance when announcing their first-quarter financial results, suggesting the industry is surmounting challenges that have squeezed earnings in recent years. That’s put companies such as the UnitedHealth Group, Elevance Health and Alignment Healthcare in a position to stockpile cash after they raised premiums and cut down on spending. (Tong, 5/14)
CVS Health secured court approval to sell its long-term care pharmacy business, Omnicare, according to a May 14 news release and bankruptcy court filings. GenieRx, a partnership between a private investment firm and a healthcare investment and management firm, is buying the subsidiary. The transaction’s closing cash consideration is $250 million. (Casolo, 5/14)
In other health industry news —
The union representing thousands of University of California medical and service workers reached a tentative labor agreement with UC early Thursday, narrowly averting an open-ended strike that had threatened to disrupt care at five medical centers and 10 campuses across the state. About 40,000 members of AFSCME Local 3299 had been set to walk out in a labor dispute centered on pay and housing benefits for UC’s lowest-paid employees. Among those prepared to strike were radiology, lab and ultrasound technicians, respiratory and mental health therapists and nurses’ aides, as well as campus custodians, groundskeepers, security guards and food workers. (Asimov, 5/14)
The Cleveland Clinic is pushing back on a report that Health and Human Services (HHS) Secretary Robert F. Kennedy Jr. operated a robotic arm during a patient’s heart surgery on a recent visit to the medical center, clarifying that he was merely an observer. “He briefly observed a robotic heart surgery as part of a broader tour, which included a demonstration using a disconnected teaching console that was unable to perform any surgical functions,” a spokesperson for the clinic told The Hill in a statement on Thursday. “He played no role in the patient’s care,” they added. (Brams, 5/14)
CMS updated its Overall Hospital Quality Star Rating this week, with the bulk of facilities sitting in the middle of the pack. Overall, 385 (12%) rated hospitals earned top marks with five stars, while 204 (6.4%) received only one star, according to CMS. (Henderson, 5/14)
Day Kimball Hospital has for years sought a partner to help support its operations in northeastern Connecticut, a rural area dappled with farms and lined with two-lane roads. After failed negotiations with multiple health systems, Day Kimball has found a match in UConn Health, a Farmington, Connecticut-based integrated academic medical center. Last month, UConn Health signed letters of intent to acquire Putnam, Connecticut-based Day Kimball, in addition to Bristol, Connecticut-based Bristol Health. (Hudson, 5/14)
Epic grew its market share last year, even as fewer providers made electronic health record purchase decisions. Smaller health systems and midsize standalone hospitals drove the increase, with the vendor adding nearly 50 customers from these categories, according to a Thursday report from market research firm KLAS. Epic in 2025 expanded its acute-care hospital market share to 44%, compared with 42% the previous year. (Famakinwa, 5/14)
Robbie Price, a Centra Health nurse practitioner based in Bedford County, has seen a lot of ways to take notes during his two decades of work in healthcare. Simple handwriting. Microrecorders. Voice recognition software. Now there’s something new: an artificial intelligence-powered “ambient digital scribe.” Price said it’s been “transformational on the clinical end.” (Schabacker and Busse, 5/15)