Hospital Association reports $200B in COVID-19 losses; Spokane healthcare surviving
The American Hospital Association released a report showing the financial strain hospitals and health systems face in the wake of COVID-19.
According to the AHA, hospitals have been losing around $50 billion per month since early March, totaling up to an estimated financial impact of $202.6 billion in losses from coronavirus expenses and lost revenue.
“The fight against this virus has created the greatest financial crisis in history for hospitals and health systems,” said Rick Pollack, AHA president and CEO. “While we appreciate the support and resources from Congress and the Administration, many hospitals are still on the brink.”
The report crunches numbers from COVID-19 hospitalizations, cancelled and postponed services, PPE costs and support services for healthcare workers.
AHA notes that this does not include costs like drug price and labor cost increases, and their projection goes out to June 30; they say that the situation could improve, or degrade, by then.
According to the State Employment Security Department, one of Spokane’s key industries is healthcare.
Before the COVID-19 pandemic, ESD noted that Spokane saw the benefit of having “flexible and efficient” medium-sized healthcare employers, as opposed to the mega employers of larger cities like Seattle.
At the moment, providers like Providence, CHAS Health and MultiCare are holding steady.
The Spokane Regional Health District, on the other hand, has been struggling to secure testing kits, as they cannot buy them from vendors like other private healthcare companies.
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