Tag Archives: Regulations

Regulations and Medical Flight Safety – What’s the Relationship?

Every year, over 400,000 medical flight evacuations and rescues take place in the United States and each ride can cost up to $25,000. Going by these figures, it is obvious that the market potential is huge. This is a fact that has not gone unnoticed by private equity investors. It is, therefore, no surprise that the country has over 75 medical flight companies that have about 1,500 air ambulances. A big number no doubt but it also means that the market is competed out by these numbers. Now, add the burden of increasing security standards and the profit margins begin thinning significantly.

Medical Safety Standards Constantly Evolve

When you look at the number of medical flight accidents that take place, it is certainly much smaller than the road accidents that we witness every day. That’s because the safety standards of the industry are quite high. The reason behind this is the constantly evolving safety benchmarks laid down by institutions like the Federal Aviation Administration of the country. These agencies make it impossible for medical flight companies to adopt a lax attitude towards safety. They simply cannot fly without following the specified safety standards and defying them or trying to break the rules can result in license suspension, financial penalties and more.

Regulations are an Incentive for Safety

Regulations not only govern safety surrounding the customers, but they also cover the crew members. For instance, any medical flight taking to the skies in the evenings or in a bad light must equip its pilots with night vision technology. Coming to the cost of safety, this is one area where the medical flight industry is left in the lurch. The increasing costs are not given due consideration by the insurance companies forcing the medical flight companies to put the burden of payment on the end consumers.

Why is it Widely Believed that State Control is Not the Best for Air Ambulance Customers?

It is a short question that demands an elaborate answer. As the rural hospitals close at a rapid rate, air ambulances are playing a vital role in bringing patients quick access to emergency rooms. It is believed that, currently, a quarter of the population in the United States of America do not have access to medical care within an hour. It is air ambulances that fill this gap. A report reveals that 80 rural hospitals have closed in the past decade and over 700 rural hospitals, it is believed, will be closed in the next 10 years. Air ambulances are turning out to be critical services.

Time is a Factor that Air Ambulances Manage Well

A Federal rule says that air ambulances can traverse between state borders without having to worry about state regulations. This allows for seamless travel across borders without any regulatory hassles. If the states are allowed to regulate the air ambulance industry, it might so happen that traversing these now-free state borders could become lengthy or challenging to say the least.

A statistic says that over 30% of air ambulances cross borders annually. The state laws, if different from each other, might make flying the skies tricky, prompting the air ambulances to fly to another state because the regulations are less tedious.  A report by American Stroke Association says that brain juries not getting treatment in time can result in fatality or poor recovery. That alone should be an argument enough in favor of Federal regulation.

It’s All About Reimbursements

The reimbursements rates by insurance companies have remained unchanged for over two decades. This puts a lot of financial stress on air ambulance service industry. Unable to get adequate cost coverage, organizations are compelled to go to the patients. Most disheartening is the fact that the patients who pay for this service are insurance holders but without adequate coverage.