Becker's Healthcare March 21, 2025
A growing legal and financial crisis is threatening the stability of Pennsylvania’s hospitals. The state’s shifting medical liability landscape — particularly the rise of “venue shopping” and high-severity malpractice settlements — has created an environment in which hospitals face extraordinary legal and financial risks.
In some cases, a single high-dollar lawsuit could push a financially strained hospital to the brink of closure. Hospital leaders are warning that without urgent legal reforms, Pennsylvania’s hospital infrastructure, especially in rural areas, will continue to erode.
Over the past five years, six rural hospitals in Pennsylvania have closed, and 18 more are at risk — 10 of which are deemed an imminent threat.
“Pennsylvania has the unfortunate distinction of having one of the...