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Hospitals Saw No Effect On Margins After Medicaid Expansion

Hospitals Saw No Effect on Margins After Medicaid Expansion

However, hospitals in non-Medicaid expansion states fared worse. Hospital operating margins for facilities in non-expansion states actually fell by 0.6 percentage points in 2014 and only increased by 0.8 percentage points in 2015.

A study showed that the drop in uncompensated care costs after Medicaid expansion did not offset Medicaid reimbursement shortfalls at non-profit hospitals. Hospitals across Montana saw their uncompensated care costs drop by over 53 percent from 2015 and 2016 and patient bad debt also fell by almost 36 percent in the same period. However, the decrease in uncompensated care costs and patient bad debt was not enough to balance Medicaid reimbursement shortfalls, the study concluded.

Source: Hospitals Saw No Effect on Margins After Medicaid Expansion

Sean Biehle

Sean is Director of Creative Services for MedData, overseeing all content, design, and communications. With over 20 years of experience spanning multiple disciplines and media, Sean has helped launch several successful companies and grow business for multiple clients. He is a proud graduate of Northwestern University. Go Cats!

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