Impact of Private Equity on Hospital Mortality Rates Revealed

A study has revealed that private equity acquisitions of U.S. hospitals lead to higher mortality rates in emergency departments. The research links this increase to cuts in staffing and salaries, impacting patient care. The findings highlight the potential dangers of profit-driven healthcare models.

A recent study has shed light on the alarming increase in mortality rates among patients in U.S. hospital emergency departments acquired by private equity firms. The research, conducted by experts from Harvard Medical School and other leading institutions, found an additional seven deaths per 10,000 visits in these facilities.

The study highlights how staffing and salary cuts, strategies often utilized by private equity firms to maximize financial returns, could negatively impact care, especially for high-risk patients. The research provides critical insights into how profit-driven healthcare ownership models may compromise patient safety.

Published in the Annals of Internal Medicine, the study compared over 10 lakh emergency visits at private equity-owned hospitals with 60 lakh visits at non-acquired hospitals. Results showed increased patient transfers and shorter ICU stays in private equity hospitals, pointing to reduced expenditures and staffing as potential risk factors.

(With inputs from agencies.)