Becker's Healthcare September 25, 2024
Here are five studies examining the costs and risks associated with physician acquisitions and practice consolidations:
1. Despite claims that consolidation can improve efficiency and cut healthcare costs, numerous studies have demonstrated the opposite. Findings from a 2023 study published in JAMA, physician services delivered through health systems and hospitals cost between 12% and 26% more than those delivered through independent practices.
2. Hospitals acquired by private equity were associated with a 25.4% increase in hospital-acquired conditions, according to a report published in JAMA in December 2023. This figure was driven by a 27.3% increase in falls and a 37.7% increase in central line-associated bloodstream infections, although private equity-acquired hospitals placed 16.2% fewer central lines than their counterparts.
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