Revenue Cycle Intelligence: Hospital Bankruptcies Are On the Rise, Hitting Rural Areas Hard
The healthcare industry experience more than 20 hospital bankruptcies since 2016, and about three-quarters of the distressed hospitals operated in rural areas, law firm Polsinelli recently reported.
The Am Law 100 firm tracks Chapter 11 bankruptcy filings by entities with assets greater than $1 million and releases a quarterly report. The quarterly reports use Chapter 11 filing data as a way to measure the financial distress in the overall US economy, as well as the real estate and healthcare sectors.
The most recent quarterly report shows that the healthcare industry is experiencing significant financial distress as the number of hospital bankruptcy filings continues to outpace the general economy.