News Headlines Article

Providers Must Cut Costs as Reimbursements Slide, Study Says
Health Leaders Media

Hospitals would have to cut direct costs by an average of $1,082 per case—14%—to sustain operating margins if average inpatient reimbursements from commercial insurers were paid at today’s Medicare rates, according to a new study by the healthcare information company, Sg2. “This changing environment requires a radical shift in behavior. The onus firmly resides with the provider,” Sg2 Chairman/CEO Michael Sachs says.