Clinical Laboratory Trends
Clinical laboratories, where tests are done on clinical specimens in order to get information about the health of a patient as pertaining to the diagnosis, treatment, and prevention of disease, are facing numerous challenging trends as healthcare reform continues to evolve.
Some of these clinical laboratory trends include:
- The Protecting Access to Medicare Act (PAMA) of 2014.
Under PAMA, many clinical lab organizations will see a substantial decline over the coming years in the prices paid to them for the highest-volume lab tests reimbursed under Medicare Part B. The law specifies that the federal Centers for Medicare & Medicaid Services (CMS) can begin enacting those price cuts in 2017.
- Laboratory benefit management program
The laboratory benefit management program is a controversial program created by UnitedHealthcare in 2014. All outpatient laboratory services for members who are part of the Laboratory Benefit Management Program are subject to new requirements including advance notification and new medical policies.
Physicians serving UHC’s commercial patients in Florida must notify UHC when ordering any of 80 clinical laboratory tests. Pre-authorization is also required for certain tests.
During its introduction phase, the program has generated widespread resistance from Florida physicians, who protest that it will cause unnecessary delays for patient treatment, and undue burdens for doctors ordering tests. In addition to problems with lab test pre-notification algorithms within the BeaconLBS system, other problems cited by physicians include the exclusion of all but 13 Florida labs from the BeaconLBS “laboratory of choice network.”
- Accountable care organizations
ACOs are the product of a provision in the Affordable Care Act of 2010. They are integrated care networks of providers with the ability to provide care to, and manage patients, across the continuum of care that should include different institutional settings, such as ambulatory care, inpatient hospital care, and even post-acute care. Clinical labs have had difficulty gaining entry into newly- forming ACOs.
At the same time, a positive clinical laboratory trend is the increasing popularity of personalized medicine (PM), a medical model that proposes the customization of healthcare – with medical decisions, practices, and/or products being tailored to the individual patient. In this model, diagnostic testing is critically important, as it is often employed for selecting appropriate and optimal therapies based on the context of a patient’s genetic content or other molecular or cellular analysis.
Testing at Pharmacies Enters a Murky Future
By Robert Michel | From the Volume XXXII, No. 6 – April 21, 2025 Issue
CEO SUMMARY: Five years ago, it seemed a solid prediction that retail pharmacies would establish a stronghold in primary care and offer wider access to common diagnostic testing services that clinical laboratories provide. Fast forward to 2025, and the market does not look…
COLA Summit to Address Lab Staffing Shortages
By Robert Michel | From the Volume XXXII, No. 6 – April 21, 2025 Issue
CEO SUMMARY: An upcoming gathering of COLA’s Workforce Action Alliance will focus on three staffing challenges: improving data needed to understand the current clinical laboratory workforce; promoting career paths for new professionals in the field; and identifying ways …
OIG Issues New Report on Medicare 2023 Lab Spend
By Robert Michel | From the Volume XXXII, No. 6 – April 21, 2025 Issue
CEO SUMMARY: When the Office of the Inspector General (OIG) at the Department of Health and Human Services (HHS) issued its latest report on Medicare spending in 2023 for clinical laboratory tests, it attracted relatively little attention from the lab industry. Maybe other issues—such a…
December 16, 2024, Intelligence Late-Breaking Lab News
By Robert Michel | From the Volume XXXII, No. 6 – April 21, 2025 Issue
Sonic Healthcare Ltd of Sydney, Australia, announced the acquisition of clinical laboratory company LADR (Laboratory Group Dr. Kramer & Colleagues) based in Geesthacht, Germany, on Dec. 9, 2024. The enterprise value of the deal is €423 million (US$446.9 million…
Lab Briefs: Dec. 16, 2024
By Robert Michel | From the Volume XXXII, No. 6 – April 21, 2025 Issue
55,000 Members of Class Action Case Involving Labcorp…
Gold Cards Offer Labs Limited Relief for Prior Auth Woes
By Virchow | From the Volume XXXII, No. 6 – April 21, 2025 Issue
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Latest Kaufman Hall Report: 40% of Hospitals Losing Money
By Robert Michel | From the Volume XXXII, No. 6 – April 21, 2025 Issue
MANY HOSPITALS REPORT HEALTHIER FINANCIAL PERFORMANCE in the past 18 months. At the same time, a large proportion of U.S…
Internet Tracking Lawsuits Target Quest and Labcorp
By Robert Michel | From the Volume XXXII, No. 6 – April 21, 2025 Issue
CEO SUMMARY: Here is the clinical lab industry’s first intelligence briefing on how class action attorneys are filing lawsuits against healthcare providers—including clinical laboratories. The allegations are that providers are using internet tracking tools, such as those offered by M…
Four Health Systems Launch ‘Longitude Health’
By Robert Michel | From the Volume XXXII, No. 6 – April 21, 2025 Issue
CEO SUMMARY: For the second time in the past 16 months, respected health systems have taken steps to collaborate specifically to advance value-based care. Longitude Health joins Risant Health as the newest attempt to bring together different health systems and foster collaboration and inn…
State of Whole Genome Sequencing of Newborns
By Robert Michel | From the Volume XXXII, No. 6 – April 21, 2025 Issue
CEO SUMMARY: Genetic medicine continues to support advances in precision medicine (or personalized medicine, if you prefer). This is true in pediatrics, where several statewide pilot programs—each involving tens of thousands of newborns—are publishing studies that demonstrate how exom…
CURRENT ISSUE

Volume XXXII, No. 6 – April 21, 2025
Now that a federal judge has vacated the FDA’s LDT rule, The Dark Report analyzes the judgement and notes the various steps the FDA could take in response. Also, lab testing at pharmacies is proving to be less successful than was once anticipated.
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