SOURCE: Rothman Research

Rothman Research

April 05, 2010 08:59 ET

Healthcare Law's Impact in General

JOHANNESBURG, SOUTH AFRICA--(Marketwire - April 5, 2010) - - If you think the past year had seen enough debates and ink-flow on the Health Reforms, you could be greatly surprised. This newly adopted law is overwhelmingly unpopular in the Republicans' rank, and truth be told they have voted in unison against the passing of the bill to law, but failed to persuade members of their rival political team to join their cause so that they could undermine the historic bill. Change has always been a challenging prospect; fear of the new and riddance of old habits, especially if they have been profitable or to one's benefit at the dispense of others, are hard facts that one need to swallow to embrace new parameters. At this moment in time, the healthcare sector is sending a mixed feeling concerning the healthcare law. 

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One of the major highlights of the law is the promotion for more low-cost drugs. One way of achieving this is by promoting production of generic drugs which have been a 'saving-grace' financially for both patients and insurance companies. The US, being the largest drug market globally, amounts for around $300 billion annually in drug sales; generics drugs sales taking about $60 billion of the pie. Whilst the healthcare laws tend to benefit local companies, one of the big players in this sphere, Israel-based Teva Pharmaceuticals Industries Ltd. (NASDAQ: TEVA), is still thriving as it has recently seen its share price soar. "I believe that the new health care law could be highly beneficial for Teva as it might see a surge in its customer-base," commented Mathew Collier of Direct & free downloadable report on Teva Pharmaceuticals Industries Ltd. is accessible by signing up now at

The Healthcare law will largely benefit millions of Americans who had previously not had access to healthcare but the cost will be crushingly in the trillions, weighing heavily on the already bursting national debt of the United States. "I believe that by adding those people in the counter with the new law, companies in the pharmaceutical industry will benefit greatly as this will increase their base of paying clients. And it is a no-brainer that when the bill passed the Senate in December, we saw big pharmaceuticals share prices swells," commented Mathew Collier of "The downside, however, is that the new law will impact on the already unstable payer milieu in the U.S. which will compel companies to revise their sales strategies and ultimately cut-down on their sales force. GlaxoSmithKline which has recently entered into a strategic alliance with Isis Pharmaceuticals Inc. (NASDAQ: ISIS), has had to lay-off a large number of its sales force to make allowance for new sales techniques as part of a cost-reduction effort to help pay for healthcare reforms."

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Companies will not be the only entities to benefit from an increase in paying patients, hospitals who have been rigged with billions of dollars of bad debts stemming from uninsured patients, will now be able to breathe. But much is still to be accessed and seen, and only time will reveal to what extend this historic law will impact on individual lives and that of corporate America. Read our reports upon free registration at to have an insight.

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