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Hospitals report declining cash reserves, increasing reimbursement delays and denials

By American Journal of Managed Care  
   December 04, 2023

The combination of these 2 pressures means hospitals and health systems are “increasingly financially strapped.” The report analyzed data from a sample survey of more than 1300 hospitals and health systems. From January 2022 to June 2023, the median health system, defined as the 50th percentile of systems, reported a drop in cash reserves of 28%. Days’ cash on hand dropped from 173 to 124 days. The declines in cash reserve were attributed to rapidly rising expenses, according to the report.

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