New analysis conducted by Dobson | DaVanzo released Nov. 21 by the Coalition to Strengthen America's Healthcare found that integration can provide more financial security and resources to rural hospitals, preserving patients' access to care. 
 
“Although not necessarily the right choice for all hospitals and communities, aligning with a larger hospital system can reduce the financial vulnerability of rural hospitals as demonstrated by the proportion of rural hospitals that are no longer at high financial risk after affiliating with, merging with, or being acquired by a hospital system,” the report said. 
 
The report found that 55% of rural hospitals that closed between 2011-2021 were standalone hospitals. Two in three hospitals at high risk of closing were no longer so when they became affiliated with a larger hospital system. The report said that 18% of hospitals affiliated with, merged with or were acquired by a larger hospital system had previously been at high risk of closure. In addition, rural hospitals saw average total margins of 1.5% prior to affiliation, compared to 2.3% post-affiliation. 
 
The report found that integration could also help address staffing shortages, provide logistical support, standardize care protocols that improve outcomes, update technology and spur innovation that can improve quality and reduce costs. 

The AHA is a founding member of the Coalition.

Related News Articles

Headline
The Senate Sept. 19 failed to adopt a continuing resolution by a 44-48 vote  that would have funded the government through Nov. 21. The CR was passed by…
Headline
A blog by Julia Resnick, AHA senior director of health outcomes and care transformation, describes a new project with the Commonwealth Fund that will explore…
Headline
The House Appropriations Committee today released bill text for a continuing resolution to fund the government through Nov. 21. The bill also extends key…
Headline
The AHA Sept. 15 expressed support for the Ensuring Access to Essential Providers Act, legislation that would require Medicare Advantage plans to cover…
Headline
The Centers for Medicare & Medicaid Services Sept. 15 announced that states can now apply for funding from the Rural Health Transformation Program created…
Headline
The AHA detailed its key health care priorities for the remainder of the year in comments to House and Senate majority and minority leaders Sept. 15. The AHA…