With Inadequate Reimbursement, 44 Percent of Rural Hospitals Operate at a Loss

With Inadequate Reimbursement, 44 Percent of Rural Hospitals Operate at a Loss

Demographic shifts and improper reimbursement has rural hospitals facing increased risks of shutdown and bankruptcy as bad debt has risen by 50 percent.

“The reason why hospitals are closing at such a rapid rate is they really are subsidizing the cost of care that they’re providing…. They are no longer getting fair reimbursement rates both in the private sector and significantly through the public sector, through the Medicare program, and Medicaid.”