Surgery Insight Report

Hospital Readiness for High-Cost Therapies: Where Operational Risk Builds

A health-system executive view of how novel, high-cost therapies reshape working capital, payer onboarding, specialty staffing, safety-monitoring logistics, formulary governance, site-of-care strategy, and the infrastructure needed to scale access without exposing the organization to unmanaged financial or operational risk.

Audience: Hospital Administrators

Countries: 3

Completion Rate: 80%

SGID: 8951420

-Hero findings

0 %
identify shortages of specialized nursing staff qualified for complex monitoring and administration as the single greatest throughput constraint.
 
use strict upfront payer authorization and guaranteed coverage terms as the primary financial strategy before acquiring extremely high-cost therapies.
0 %
say low reimbursement rates or ASP markups that fail to cover handling and administrative overhead create the most severe onboarding friction.
0 %
prioritize dedicated Center of Excellence units within the main hospital campus as their site-of-care growth strategy.
0 %
rank specialized pharmacy, cold-chain, and point-of-care manufacturing infrastructure as the most critical investment for safe scale.
0 %

– Quick Read — Key Findings

When a therapy costs millions upfront, who carries the risk before reimbursement?

A therapy can be ready while the health system around it is not

For hospital executives, the launch of a high-cost therapy is not a single formulary decision. It is a chain of capital, contracting, pharmacy, staffing, diagnostics, scheduling, revenue-cycle, and site-of-care decisions that must hold together before the first patient is treated.

 

That complexity is increasingly visible in policy and practice: CMS’s Cell and Gene Therapy Access Model is testing outcomes-based agreements for sickle cell gene therapies and requires participating Medicaid programs to make operational and reimbursement changes that support access, and ASHP policy places supply chain, operational oversight, formulary governance, financial risk, and payment models inside the health-system medication-use process. The MDForLives survey asks administrators and executives where this operating model strains first, and the strongest signals are not concentrated in one department, they span upfront payer guarantees, reimbursement economics, specialized nursing, diagnostic scheduling, executive governance, centralization of complex care, and specialized pharmacy infrastructure.

MDForLives interpretation: Readiness for high-cost therapies is becoming an enterprise capability. The risk is created when clinical adoption moves faster than finance, staffing, pharmacy, diagnostics, and payer workflows can synchronize.

Half of executives will not acquire the therapy until coverage is locked down

50.0% say their primary financial strategy is strict upfront payer prior authorization and guaranteed coverage terms before drug acquisition.

 

White or clear bagging is chosen by 25.0%, traditional buy-and-bill supported by hospital reserves by 18.8%, and manufacturer risk-sharing by only 6.3%, so the dominant move is to reduce uncertainty before cash leaves the system. The open-ended comments sharpen it: executives fear buying million-dollar therapies upfront while reimbursement stays unsettled, delayed, or exposed to denials, which turns authorization from an access workflow into a treasury control.

Executive lens: The operational question is not only whether a patient qualifies. It is whether coverage, contracting, acquisition, billing, and payment timing are clear enough for the organization to accept the financial exposure.

Even with coverage, reimbursement economics can make the therapy unsustainable

37.5% identify low reimbursement rates or ASP markups that fail to cover pharmacy handling, compounding, and administrative overhead as their most severe onboarding friction.

 

Prior authorization cycles and coverage criteria narrower than the label are each 25.0%, and site-of-care restrictions 12.5%, so the burden is not one bottleneck but a sequence of verification, eligibility, authorization, reimbursement, and site rules. Policy is targeting the same seam: CMS’s 2024 interoperability and prior authorization rule began operational requirements in 2026, and an April 2026 proposal would extend electronic prior authorization to drugs, showing how actively the drug-authorization workflow is being standardized.

Revenue-cycle implication: Faster authorization matters, but speed alone will not solve a therapy whose reimbursement fails to cover the full operational cost of acquisition, handling, monitoring, and administration.

The biggest capacity constraint is the workforce, not the infusion chair

56.3% identify shortages of specialized nursing staff qualified for complex monitoring and administration as the single greatest throughput constraint.

 

Diagnostic and laboratory capacity follows at 18.8%, with infusion chair availability and specialized pharmacy capacity each at 12.5%, which reframes expansion planning: adding physical space without the clinicians to run the service may not add usable capacity. The future-investment question echoes it, 25.0% prioritize recruiting and retaining specialty nurses, pharmacists, and advanced-practice clinicians, so complex-therapy capacity is partly a labor-market problem and partly a workflow-design problem.

Capacity implication: A program’s true throughput is determined by the scarcest required resource. For many respondents, that resource is specialized nursing, not square footage.

Mandatory monitoring creates a second scheduling pathway as critical as the treatment slot

37.5% reserve dedicated fast-track diagnostic or imaging slots specifically for specialty-therapy patients.

A quarter rely on standard central scheduling despite delays, while 18.8% partner with off-site ambulatory centers and 18.8% use automated EHR pathways to book clinic, infusion, and diagnostics together. The issue is sequencing: a therapy may require treatment, imaging, labs, toxicity checks, and follow-up within defined windows, so if those sit in disconnected queues, a patient can be clinically eligible yet operationally unable to complete the pathway on time.

Operational implication: Safety monitoring should be treated as reserved capacity inside the therapy pathway, not as a downstream request competing with routine imaging or ambulatory demand.

Health systems are centralizing both the decision and the delivery model

37.5% use a centralized executive panel for formulary governance, while 50.0% prioritize a main-campus Center of Excellence for future site-of-care growth.

Centralized C-suite, pharmacy, finance, and medical governance leads formulary decision-making
0 %
Dedicated Center of Excellence units lead site-of-care strategy
0 %

A dedicated Precision Medicine and Novel Therapeutics committee sits close behind centralized executive governance at 31.3%, with service-line governance at 18.8% and ad-hoc planning 12.5%; on site of care, hospital-owned ambulatory infusion and community partnerships are each 18.8% and home infusion 12.5%. Together the two questions show a preference for concentration where complexity is highest: a centralized body can weigh enterprise risk, and a Center of Excellence can pool pharmacy, staffing, diagnostics, safety pathways, and financial expertise in one model.

Governance implication: Novel therapies cut across the traditional service-line boundary. The more expensive and operationally demanding the therapy, the stronger the case for enterprise-level ownership of both risk and readiness.

Executives want infrastructure to make the therapy deliverable, billable, and visible

37.5% rank specialized pharmacy, cold-chain, and point-of-care manufacturing infrastructure as the most critical investment for scaling novel therapeutics safely.

Automated EHR decision support and revenue-cycle tools for prior authorization follow at 31.3%, specialized clinical talent at 25.0%, and upgraded diagnostics at 6.3%, so the priorities span product handling, digital authorization, workforce, and diagnostic support. The open-ended comments repeat the same themes, reimbursement uncertainty, denials, upfront cash exposure, staffing and scheduling, contract complexity, and site-of-care or DRG mismatches, with a smaller set citing budget limits, prescribing discipline, and life-cycle contracts.

System implication: The investment case is strongest when pharmacy infrastructure, digital revenue-cycle tools, specialized talent, and governance are designed as one readiness platform rather than funded as separate departmental projects.

High-cost therapy readiness is becoming an enterprise risk-management discipline

The strongest signals sit at the interfaces between departments: finance wants coverage certainty before acquisition, revenue-cycle teams face prior authorization, narrow criteria, reimbursement gaps, and site-of-care rules, clinical operations are constrained by specialized nurses and tightly timed diagnostics, pharmacy needs infrastructure for high-cost handling, and leadership must decide who owns formulary risk and where therapies are delivered.

 

The survey also shows why a narrow fix is not enough: a new EHR workflow cannot solve inadequate reimbursement, more infusion chairs cannot solve a nursing shortage, and a Center of Excellence cannot scale if the payer model still exposes the hospital to unrecoverable acquisition cost. The more complex the therapy, the more readiness depends on synchronizing financial, clinical, pharmacy, diagnostic, and operational capacity before demand arrives.

// at a glance
Total Survey Records
20
Countries Covered
3
Specialty
Hospital Admin
Published Date
8 August 2026
Completion Rate
80%
Survey ID
8951420
// browse categories

You have read the summary

The findings go deeper.
So can your participation.

Discover the complete research behind these insights, or become part of future studies with MDForLives.

Frequently asked questions

Direct answers to common questions around this topic.

What are the main financial risks to hospitals offering high-cost therapies?

Key risks can include large upfront acquisition costs, uncertain or delayed reimbursement, payer denials, contract complexity, site-of-care restrictions, and mismatches between the cost of delivering therapy and the payment received.

 

Health systems may use strict coverage verification before acquisition, payer contracts, manufacturer arrangements, specialty-pharmacy models, dedicated financial review, or other risk controls. The right approach depends on the therapy, payer mix, reimbursement model, and local regulation.

 

High-cost therapies often require detailed eligibility, documentation, medical-necessity review, benefit verification, and payer-specific criteria. When requirements differ by payer or change after approval, administrative work can delay treatment even after a clinical decision is made.

 

Needs vary by therapy but can include specialized pharmacy and cold-chain capability, trained nursing and pharmacy staff, infusion capacity, diagnostic and laboratory access, emergency and toxicity-management pathways, scheduling coordination, and robust financial and data systems.

 

A Center of Excellence is a concentrated program that brings specialized clinical teams, pharmacy, diagnostics, operations, governance, and financial processes together for complex care. The exact designation and requirements vary by health system and therapy.

 

Scaling usually requires clear governance, standardized patient selection and authorization workflows, defined sites of care, trained staff, reliable pharmacy and diagnostic capacity, financial risk controls, and data systems that coordinate treatment and monitoring across teams.

Direct answers to the questions healthcare professionals are most likely to ask about these findings.

Scroll to Top