Due to rising medical supply costs as well as the cost of drugs and labor, total expenses for Connecticut hospitals in 2022 were $3.5 billion higher than they were before the pandemic – a more dire predicament than that seen by hospitals nationwide, according to new findings from the Connecticut Hospital Association.
Fiscal year 2022 was a rough one for hospitals in the state, which saw about $164 million in losses. Without the benefit of federal relief funds, hospitals would have lost close to $1 billion more over the last three years, numbers showed.
Rising expenses for labor, drugs, and medical supplies are major drivers of the expense increase – and total expenses are cumulatively well above pre-pandemic levels, reports Healthcare Finance.
On top of that, hospitals are caring for patients with more severe health needs, resulting in longer lengths of stay, increased expenses and a reduction in revenue. And labor shortages in post-acute settings are preventing timely discharge of patients from the hospitals, leading to increased expenses without a corresponding increase in revenues. Read more.
