West Michigan’s health care sector plays a key role in our economy, driving employment and economic growth in our region. At the same time, the affordability of employee benefits remains top of mind for members and employers in West Michigan.
Last Friday, the Chamber’s February Issue Forum brought together industry experts for an engaging discussion on key trends, and potential policy changes impacting this sector.
Key Takeaways:
A presentation on the highlights of the 2025 Health Economic Forecast by Professor Montanera and Dr. Kirby from the Seidman College of Business at the Grand Valley State University highlighted that:
- Higher healthcare demand in West Michigan stemming from two factors:
- An increase in disease prevalence that differs by race and gender.
- An increase in population size and age.
- To meet high demand, healthcare providers and universities continue to make strides in two labor related areas:
- Employment, job openings, and inflation-adjusted earnings.
- Increased enrollment in high return degrees related to healthcare.
Please find their slide deck here.
Our reaction panel featured:
- Adam Dee, Vice President of Actuary Health Plan Business, Blue Cross Blue Shield of Michigan
- Sean Gehle, Vice President of Advocacy, Trinity Health Michigan
- Dr. Khan Nedd, MD, CEO, Answer Health
- Andrea Poulopoulos, Senior Vice President of Supply Chain, Corewell Health
They highlighted that:
- Utilization is up and for medical, ER, and pharmacy. Employers should prepare for continued increase of the next year.
- Work to contain increased pharmaceutical costs will continue, but will not be easy to due to the popularity and effectiveness of specialty drugs and gene therapies.
- Value-based healthcare models are a method to contain costs and improve quality and expanding them into mental health was discussed.
- Supply chains in health care are being improved, especially due to experiences in COVID.
- The total health care spend in the supply chain is large and an opportunity to engage with local businesses.
- Policy uncertainty is impacting the health care industry in particular and will likely impact cost for businesses.
The next Chamber Issues Forum, with a focus on housing, is on Friday, June 20th, but before then, we have our Grand Rapids Policy Conference coming up on March 11th, then Breakfast with Legislators on April 21st! We’d love to have you join us for these events.
If you are interested in joining the Chamber’s Health Care & Human Resources Committee, please contact Jacqui Dolce at jacqui@grandrapids.org.
