Hospital Revenue of Accountable Care Organizations

Hospital Revenue of Accountable Care Organizations

For the 6th part of my research, I took a look at the hospital revenue generated by individual hospitals. I specifically looked at established ACO organizations and I compared them to well known non – ACOs.  According to the American Hospital Association, hospital revenue has significantly decreased over the past decade thanks to health insurance companies refusing to reimburse them. Health insurance companies are allowed to partner with ACOs. As you will see below, this partnership greatly harms a hospital’s ability to generate revenue.

Hospital Revenue – Accountable Care Organizations

 

Accountable Care Organization – Revenue
Beth Israel Deaconess – $159,606,412
Brigham and Women’s Hospital – $4,576,101,356
Dartmouth – Hitchcock / Cigna  -  $1,685,311,683
Doctors Medical Center / Blue Cross Blue Shield   -  $2,679,049,231
Hoag Hospital / Blue Cross Blue Shield  – $2,980,000,000
Methodist Dallas Medical Center / Texas Health Resources  -   $812,838,000
Montefiore Medical Center    -   $1,032,281,103
Norton Hospital / Humana   -   $4,154,840,322
St. Joseph’s Hospital (California) / Blue Cross Blue Shield   – $2,365,214,950

Total Revenue -  $20,445,243,057

 

Hospital Revenue – Non-Accountable Care Organizations
Centennial Medical Center (HCA)   -   $1,849,793,540
Emory University Hospital – $1,660,200,543
Gateway Medical Center (CHS)       -  $577,179,851
Massachusetts General Hospital     -  $5,638,983,396
Ochsner Medical Center  – $201,713,649
Tulane Medical Center (HCA)  – $1,532,426,856
University of Alabama Birmingham Hospital – $3,093,034,815
University of Kentucky -  $1,944,599
Vanderbilt University Medical Center  – $4,523,130,818

Total Revenue – $21,021,063,338

 Hospital Revenue of Accountable Care Organizations is low

Established Accountable Care Organizations generate less revenue than non accountable care organizations. This is due to the fact that established accountable care organizations are tied directly to insurance companies which reimburse hospitals and physicians less in order to get more profit for their shareholders. Non accountable care organizations clearly generate more revenue because they are smart enough not to partner directly with the insurance companies. For more information on hospital revenue,  read the annual reports of the above hospitals. For complete results of my research, please view the post “Accountable Care Organizations Are Failing”. 

About mdtaber

Mr. Taber has a MS and BS in Health Services Administration and has been working in the industry since 1998. Mr. Taber oversees operations, business development, and marketing efforts of the company. In addition, he also acts as government liaison and regularly briefs local, state, and federal government officials on healthcare policy issues. Mr. Taber is a member of the American College of Healthcare Executives.
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