More Health System Losses Add Up to Bleak Picture Pre-Covid-19

Prior to the Mid-March (in some states) Covid-19 pandemic, many health care systems were already in financial trouble. When most of those systems canceled their pre-scheduled non-essential and non-emergency medical care services, things became even worse. As a result, quite a few health systems are now reporting losses of over one billion dollars for the first quarter of this year. Here are seven with the top losses.

Seven Health Care Systems With Huge Losses

According to sources, “Health systems across the U.S. saw revenue decline, expenses rise and investment gains dwindle in the first quarter of this year due to the COVID-19 pandemic.”

“For the three months ended March 31, some of the biggest nonprofit health systems in the U.S. reported losses. Below are seven health systems that reported net losses of $1 billion or more.”

“Ascension (St. Louis)
Revenue: $6.1 billion
Operating loss: $429.4 million
Net loss: $2.7 billion

CommonSpirit Health (Chicago)
Revenue: $7.8 billion
Operating loss: $145 million
Net loss: $1.4 billion

Kaiser Permanente (Oakland, Calif.)
Revenue: $22.6 billion
Operating income: $1.3 billion
Net loss: $1.1 billion

Providence (Renton, Wash.)
Revenue: $6.3 billion
Operating loss: $276 million
Net loss: $1.1 billion

Sutter Health (Sacramento, Calif.)
Revenue: $3.2 billion
Operating loss: $236 million
Net loss: $1.1 billion

Advocate Aurora Health (Downers Grove, Ill., and Milwaukee)
Revenue: $3.1 billion
Operating loss: $85.6 million
Net loss: $1.3 billion

Intermountain Healthcare (Salt Lake City)
Revenue: $2.3 billion
Operating income: $115 million
Net loss: $1 billion”

What Can Be Done to Prevent a Financial Collapse?

Although your system’s aged claims – those owed to you by commercial health insurance companies that have gone past their three-state level appeals and still remain unpaid – may not add up to as much as you’re currently taking in through paid claims, sometimes every penny counts. Thankfully, you can collect on those aged claims using the Federal ERISA claims process. If you’re ready to make a move in this direction, please give us a call!