Physicians Push for Solutions Amid National Cyberattack Jeopardizing Healthcare
PHOENIX, Arizona —
A cyberattack on one of the country's largest medical technology companies has sent Arizona's healthcare system reeling, and the Arizona Medical Association is pushing local insurance providers, regulatory agencies, and government officials to create immediate solutions.
Following the cyberattack on Change Healthcare's network, healthcare systems nationwide have been unable to complete routine operations required by insurers, including prior authorization approvals and insurance eligibility checks. Most crucially, local physician practices have reported weeks without payment from the Centers for Medicare & Medicaid Services and private insurance companies.
"For physicians running their practice from paycheck-to-paycheck, which is too common of a reality, the recent cyberattack is nothing less than a crisis," stated William C. Thompson IV, MD, FASA, president of ArMA. "Private physician practices are already strained by economic inflation, Medicare cuts, and the lingering financial impacts of the pandemic. Now, many independent practices — especially those serving a large number of AHCCCS patients — are strategizing on how to keep the lights on, as the attack has blocked timely payments for physicians from insurers."
With no payments for services from insurers, physician clinics have reported maintaining operations and payrolls through reserve or personal funds, a temporary and unsustainable solution. Left unremedied, the cyberattack's rippling impacts may force doctors’ offices to close their doors forever.
ArMA is urging local government to take swift action and provide relief to Arizona's healthcare system. In
letters sent to Governor Katie Hobbs, the Arizona Health Care Cost Containment System, and the Arizona Department of Insurance & Financial Institutions, ArMA outlined potential solutions, including:
- Urging commercial payers to provide advanced payments to physician practices
- Requiring insurer plans to suspend all prior authorization requirements
- Temporarily waiving any filing deadlines for claims and appeals
- Allowing the submission of paper claims
"Everyone’s top priority should be minimizing disruptions to patient care," shared Libby De Bie, CEO of ArMA. "The healthcare community is doing everything in its power to prioritize Arizonans' health. Now, we are asking local officials and insurer plans to do the same."
The Change Healthcare Cyberattack, which began on February 21, 2024, is the largest and most consequential cyberattack in the nation's history. It is estimated that the incident has impacted more than 90% of U.S. hospitals and resulted in more than $6 billion in delayed payments, according to
Becker's Health IT.
