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Long-Term Trend: 10-Year Cost Hike Is More Gradual at MHS Hospitals
Since 1999, total costs per admission have more than doubled at hospitals that did not belong to multihospital systems (MHS), to $20,821 in 2009 from $10,108 in 1999—compounding by 7.2% each year on average. By comparison, hospitals in MHSs saw less steep growth in total costs per admission, climbing at an average of 6.0% per year, to $18,774 in 2009 from $10,288 in 1999.
Controlling rising medical costs from an increasingly chronic disease burdened population presents a challenge for all hospitals. As pay-for-performance and quality measures are introduced through the Affordable Care Act in the coming years, MHS and non-MHS facilities alike may be incentivized to adjust their models for dealing with chronic disease patients.
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US.NMH.11.03.039
Last Updated: May 2012