Healthcare DIVE March 3, 2025
The credit ratings agency is most concerned about Medicaid cuts and how government layoffs will affect device approvals.
Dive Brief:
- Changes to healthcare policy under President Donald Trump could negatively impact the credit ratings of a broad array of healthcare companies, including providers, payers, pharmaceutical companies and medical device firms, according to a new report from Fitch Ratings.
- Providers and payers would be most impacted by possible cuts to Medicaid, according to the report. Absolute federal funding cuts that are not offset by increased state spending would be the most damaging to providers, Fitch said.
- Insurers could feel downstream effects of Medicaid cuts if hospitals seek to hike payment rates for privately insured patients in an effort to mitigate...
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