Four key risks threaten healthcare providers

Four key risks threaten healthcare providers
Germs from disease and viruses

The end of the pandemic may be in sight, but in its wake will be some daunting challenges for healthcare providers. Explore more on this page to examine the four risks:

Clinician burnout

Even before the pandemic,
up to one-half of clinicians
were found to experience
burnout.¹ What’s the impact
on providers?

  • Turnover and lost hours total $4.6 billion per year.²
  • Professional liability risks and costs rise when
    workers aren’t at their best.
  • Patient satisfaction suffers.

What’s our response?

Emphasize work/life balance and
strengthen mental and emotional
well-being programs.

Talent gap

As the need for care grows larger, the
medical workforce grows older. What
are the dangers over the next decade?

  • One-third of clinicians are 55 or older.4
  • Six of today’s 10 fastest-growing occupations are
    related to healthcare.5
  • The talent pipeline is limited as a result of strained
    work conditions.
  • Lower-skilled workers may need to fill the
    talent gap.
employee engagement

What’s our response?

Focus on employee engagement and long-term recruitment.

Telemedicine on desktop computer

Telehealth fever

With the number of virtual visits
up to 175 times higher now than
before the pandemic6, online care
has revolutionized the industry. If
this shift is permanent, what are
the drawbacks?

  • Data breaches were approximately three times
    higher in 2020 than in 2019.7
  • A reliance on imperfect remote technology can
    cause misdiagnoses.
  • Revenue decreased more than $20 billion in the
    pandemic’s first three months.8
  • A permanent shift to virtual care could threaten
    long-term financial viability.
Telemedicine icon

What’s our response?

Consider the added risks of sustained
online and remote medical care and
how they vary by jurisdiction.

hospital

Financial instability

America’s hospitals and health
systems lost at least $323 billion in
2020.9 How will today’s financial
outlook reshape the industry?

  • Smaller providers may cut back unprofitable
    services, slash expenses, limit investments, or
    close altogether.10
  • Larger healthcare systems will likely focus on
    innovation, diversification, and collaboration.11
  • Health systems may strengthen infrastructure
    through new alliances.12
  • Industry analysts expect a dramatic rise in M&A
    activity in 2021.10
checklist clipboard

Key considerations:

Assess program structures to
ensure they meet financial needs.

As healthcare providers adapt to a changing world,
our expertise and integrated solutions can help you
prepare for the risks and challenges that lie ahead.

Contact your Liberty Mutual representative to learn
how we can help.

  1. https://www8.nationalacademies.org/onpinews/newsitem.aspx?RecordID=
    25521&_ga=2.158196538.1042620189.1571854216-1009726916.1571854216
  2. https://www.acpjournals.org/doi/10.7326/M18-1422
  3. https://journals.lww.com/hcmrjournal/Abstract/
    2008/01000/Linking_physician_burnout_and_patient_outcomes_.5.aspx
  4. https://www.peoplescout.com/insights/healthcare-talent-generational-divide/
  5. https://www.bls.gov/news.release/ecopro.nr0.htm
  6. https://www.mckinsey.com/industries/healthcare-systems-
    and-services/our-insights/telehealth-a-quarter-trillion-dollar-post-covid-19-reality#
  7. https://www.healthcaredive.com/news/3-big-predictions-for-digital-health-in-2021/593691/
  8. https://journals.lww.com/annalsofsurgery/Abstract/
    9000/The_Cost_of_Quarantine__Projecting_the_Financial.93739.aspx
  9. https://www.aha.org/issue-brief/2020-06-30-new-aha-report-
    finds-losses-deepen-hospitals-and-health-systems-due-covid-19
  10. https://www.healthcarefinancenews.com/news/ma-activity-expected-
    surge-independent-health-systems-look-partners
  11. https://www.bdo.com/BDO/media/CFO-Outlook-Survey/IND_2021_HC_CFO-Survey_WEB.pdf
  12. https://www.healthcaredive.com/news/healthcare-cfos-see-fresh-wave-of-ma-in-2021-bdo-survey-shows/593219/

This website is general in nature, and is provided as a courtesy to you. Information is accurate to the best of Liberty Mutual’s knowledge, but companies and individuals should not rely on it to prevent and mitigate all risks as an explanation of coverage or benefits under an insurance policy. Consult your professional advisor regarding your particular facts and circumstance. By citing external authorities or linking to other websites, Liberty Mutual is not endorsing them.