#14: Our Take June–Part 2

Health Care Rounds

John shares our take on the second half of June, including the decision of a federal appeals court regarding risk corridor payments, and the announcement of the new CEO for the Amazon-Berkshire-JPMorgan health care venture.

• A federal appeals court Thursday ruled that the Health and Human Services Department is not obligated to pay insurers the more than $12 billion in risk corridor payments that have accrued to date. The U.S. Court of Appeals for the Federal Circuit reversed a previous decision in a suit brought by Moda Health, in which the company argued that it was owed risk corridor payments as stipulated by the Affordable Care Act (ACA).
• Amazon, Berkshire Hathaway and JPMorgan Chase appointed Dr. Atul Gawande as chief executive officer of their newly formed health care company. In a press release, the companies announced that the new company will be headquartered in Boston and will “operate as an independent entity that is free from profit-making incentives and constraints.”

About Darwin Research Group
Darwin Research Group Inc. provides advanced market intelligence and in-depth customer insights to health care executives, with a strategic focus on health care delivery systems and the global shift toward value-based care. Darwin’s client list includes forward-thinking biopharmaceutical and medical device companies, as well as health care providers, private equity, and venture capital firms. The company was founded in 2010 as Darwin Advisory Partners, LLC and is headquartered in Scottsdale, Ariz. with a satellite office in Princeton, N.J.

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