While the analysis is concerning, one
The study was funded by an industry coalition that has been running ads against Medicare-for-all and other public option proposals pushed by Democratic candidates. Called the
If a public option plan would go into effect, the study found that between 25 and 52 of
Rural hospitals in the study include critical access hospitals and short-term acute care rural hospitals.
Researchers with Navigant studied the impact of public option on the nation's smaller hospitals under three scenarios:
--Scenario 1 -- 85 percent of individually covered plans from the commercial exchange are moved to public option.
--Scenario 2 -- In addition to 85 percent of individual plan holders, 25 percent of individuals with employer-based plans also shift to public option.
--Scenario 3 -- 85 percent of individual plans and 50 percent of employer-based plans move to public option.
Under the first scenario,
In scenario 2, rural hospitals in
Fifty-two rural hospitals would be at high risk for closure as a result of a
The total revenue loss for the 1,898 rural hospitals in
--Scenario 1 --
--Scenario 2 --
--Scenario 3 --
In the analysis' findings,
"There are a number of hospitals at moderate or high risk," Leibach said.
The nation's smallest hospitals are struggling. Since 2010, 113 rural hospitals across the country have closed their doors, according to the
No hospital closures have occurred in
"They're in trouble," said Norris of the
Earlier this year, Navigant released an analysis saying that 17 of
That report measured financial risk through data submitted to the federal
The report also found 21 percent of all
Many community hospital officials also say they face challenges in obtaining reimbursement from the managed-care organizations, private insurance companies that handle
In addition, there is only one prominent commercial player in
"It's not pretty because we're in an environment right now where community hospitals are performing worse than they have in three decade," Norris said. "Our urban hospitals are a little better, but their operating margins are way down compared to their peers."
(c)2019 The Gazette (Cedar Rapids, Iowa)
Visit The Gazette (Cedar Rapids, Iowa) at thegazette.com
Distributed by Tribune Content Agency, LLC.