Over 10% of hospitals in Connecticut changed ownership between 2016 and 2021, according to a federal report using new CMS data. Connecticut and just three other states had hospital ownership change rates over 10%. Most states had rates of 4% or less.
Understanding hospital ownership changes and rates of change to identify consolidation in healthcare markets, which is responsible for rising prices, making healthcare coverage less affordable for consumers, businesses, and government. Connecticut’s hospital and health system markets are among the most consolidated in the country, driving up premiums. In 2020, Connecticut’s insurance premiums were the eighth and ninth highest in the US for family and single coverage, respectively.
Tracking ownership changes is also critical to protecting patients and payments. CMS tracks ownership changes to identify patterns of fraud, waste, and abuse in payments. The data is also key to tracking quality of care, a perennial problem for Connecticut hospitals.