QuoteWizard Study Finds, Healthcare Spending Declines 43% for Hospitals During Pandemic
On Sept. 22, 2020, QuoteWizard, a LendingTree company, released a report detailing the significant impact of the COVID-19 pandemic on healthcare spending. The report highlights a staggering 43% drop in hospital spending and 37% decline for physician offices in April. Furthermore, the American Hospital Association projects a total loss of $323.1 billion for 2020. As a result, rural hospitals face increased closure risks, with 12 closures already reported in the first half of the year. Overall, the pandemic has compounded financial challenges for healthcare providers.
- None.
- 43% decline in hospital spending in April 2020.
- 37% decrease in physician office revenues during April 2020.
- Projected losses of $120.5 billion for hospitals from July to December 2020.
- Total healthcare system losses expected to reach $323.1 billion for 2020.
- Primary care practices expected to lose $67,774 per full-time physician.
SEATTLE, Sept. 22, 2020 /PRNewswire/ -- QuoteWizard®, a LendingTree company, and one of the nation's leading online insurance marketplaces released a report on healthcare spending during the pandemic. The COVID-19 pandemic has seen a significant shift in how hospitals and health care facilities operate due to an influx of patients coming in to be treated for COVID-19 and an even larger number of people avoiding regular and planned visits because of the elevated risks for contracting COVID-19.
With the billions in losses that hospitals and health care facilities are facing could lead to a number of unfavorable results for the American people. Hospitals' ability to stay operational is one initial issue that sticks out. Many hospitals with mounting debts are simply unable to continue operating and are forced to close their doors. Hospital closures are becoming more common, especially in rural areas where health care facilities are few and far between. Already in the first half of 2020, there have been 12 rural hospital closures.
Visit the full report here, https://quotewizard.com/news/posts/hospital-expenses-increase-during-pandemic
Key Findings:
- Healthcare spending in April dropped for hospitals (-
43% ), and physician offices (-37% ). - There was a
77.87% decrease in in-person medical visits from March to April 2020 compared to the same period in 2019. - The AHA projects health care system losses of
$120.5 billion from July through December 2020, totaling$323.1 billion in losses for 2020. - Over the course of 2020, primary care practices are expected to lose
$67,774 per full-time-equivalent physician. The estimated cost to neutralize this revenue loss nationally would be$15.1 billion .
Methodology
QuoteWizard analyzed State Health Access Data Assistance Center to determine which states rank the highest average employer health insurance premiums, and Kaiser Family Foundation data on states with the highest hospital expenses per visit
States with already high hospital expenses and health insurance premiums could see even higher rates impacting their bottom line over the next decade. Given the projected hospital debts, these states are likely to see the largest increase given the expected high rate of growth.
About QuoteWizard QuoteWizard (quotewizard.com) is an insurance comparison marketplace for consumers looking to save on insurance. QuoteWizard provides consumers with direct access to thousands of qualified agents in all 50 states, as well as major carriers, who offer personalized quotes and the opportunity to save up to
For more information, go to quotewizard.com, like our Facebook page and/or follow us on Twitter @quotewizard.
About LendingTree LendingTree (NASDAQ: TREE) is the nation's leading online marketplace that connects consumers with the choices they need to be confident in their financial decisions. LendingTree empowers consumers to shop for financial services the same way they would shop for airline tickets or hotel stays, comparing multiple offers from a nationwide network of over 500 partners in one simple search, and can choose the option that best fits their financial needs. Services include mortgage loans, mortgage refinances, auto loans, personal loans, business loans, student refinances, credit cards and more. Through the My LendingTree platform, consumers receive free credit scores, credit monitoring, and recommendations to improve credit health. My LendingTree proactively compares consumers' credit accounts against offers on our network and notifies consumers when there is an opportunity to save money. In short, LendingTree's purpose is to help simplify financial decisions for life's meaningful moments through choice, education and support. LendingTree, LLC is a subsidiary of LendingTree, Inc.
Media Contacts:
Emily: emily@quotewizardnews.com
Nathan: nathan@quotewizardnews.com
Related Links
https://quotewizard.com
https://quotewizard.com/news/posts/hospital-expenses-increase-during-pandemic
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SOURCE QuoteWizard
FAQ
What is the impact of COVID-19 on hospital spending according to the report from QuoteWizard?
How much are healthcare providers projected to lose in 2020 due to the pandemic?
What specific challenges do rural hospitals face as reported by QuoteWizard?
How much revenue loss is expected for primary care practices in 2020?
