Costs rising for acute care hospitals

Posted 11/27/24

Pennsylvania’s non-general acute care hospitals – which offer rehabilitation, psychiatric and long-term acute care — are facing rising costs, according to a new report from the Pennsylvania Health Care Cost Containment Council (PHC4).

The report reveals that uncompensated care costs for these hospitals increased by nearly 15% in the 2023 fiscal year (FY23). That’s an additional $2.2 million in care provided to patients who couldn’t pay, bringing the total to $17.4 million. Uncompensated care as a share of revenue varied, from 0.29% at long-term acute care …

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Costs rising for acute care hospitals

Posted

Pennsylvania’s non-general acute care hospitals – which offer rehabilitation, psychiatric and long-term acute care — are facing rising costs, according to a new report from the Pennsylvania Health Care Cost Containment Council (PHC4).

The report reveals that uncompensated care costs for these hospitals increased by nearly 15% in the 2023 fiscal year (FY23). That’s an additional $2.2 million in care provided to patients who couldn’t pay, bringing the total to $17.4 million. Uncompensated care as a share of revenue varied, from 0.29% at long-term acute care hospitals to 1.00% at rehabilitation hospitals.

“These reports are essential for understanding the financial health of our hospitals and helping stakeholders make informed decisions,” said Barry D. Buckingham, PHC4's executive director. He noted that the data sheds light on operating margins and patient revenue, helping health care leaders prioritize resources.

Non-GAC hospitals treated nearly 6% of all patients admitted to hospitals statewide and handled about 4% of outpatient visits, according to the report.