BC Advantage - 2025 Issue 1

Financing Solutions for a Healthier System: Aligning Patient Financial Health With Healthcare Stability

The financial viability of U.S. health systems is under significant strain due to the increasing volume of uncompensated care. In 2023, U.S. hospitals collectively faced billions of dollars in uncollected revenue, severely constraining their ability to invest in critical infrastructure and advancements in patient care.   Additionally, many health systems routinely carry bad debt exceeding $100 million, with industry experts suggesting a target of 3% of net patient revenue, though most systems exceed this benchmark. This financial vulnerability could threaten the sustainability of healthcare organizations and their ability to provide accessible care to all, stemming from factors...

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