California Hospitals Reports Billions OF Losses Due To Covid-19 Pandemic

A new data analysis report prepared by the Kaufman Hall Shows had reported that the California hospitals are facing up to $16.7 billions in revenues by April 2020 due to the recent and ongoing Covid-19 pandemic.

All the medical centers and healthcare service providers in California have already shut down the non-emergency and most elective services in march to prepare for the ongoing Covid-19 patients. After the cancellation of electric and emergency, the hospitals in California bear the loss of more than $6.3 billion in the month of April alone.

Top analysts believe that all the medical healthcare centers in California have to bear the loss of $11.2 billion by the end of 2020 year. Furthermore, the ongoing Covid-19 pandemic would significantly challenge the ability of the hospitals to remain financially stable for the years to come.

Chairman of Kaufman Hall, Ken Kaufman said, “Since the outset of the pandemic, California hospitals have rightfully focused their efforts on caring for COVID-19 patients, protecting their workers, and preserving the safety of their communities.”

“Our research shows that these vital efforts have come at an extremely high cost. When coupled with an already challenging financial environment prior to COVID-19, California hospitals are now facing a very difficult path forward,” Ken Kaufman further added.

Managing Director at Kaufman Hall, Jody Hill-Mischel said, “California hospitals took necessary actions to care for patients during a public health emergency and comply with a state order. But the impacts have been severe, especially considering that hospitals were already facing difficult economic headwinds.”

“The financial burdens on California hospitals have already been significant, and they are likely to grow for the foreseeable future. Hospitals that already have been financially challenged may not be able to survive this crisis,” Mischel further added in his statement.

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