AG: Private Equity in Medical Systems Equals Higher Costs

On June 6, California Attorney General Rob Bonta led a multistate coalition of 11 attorneys general in submitting a comment letter to the Federal Trade Commission, the U.S. Department of Justice, and the U.S. Department of Health and Human Services pointing out aggressive profiteering by private equity-owned healthcare systems, which leads to higher healthcare costs, poor healthcare quality, and less access to care for patients.

Private equity-driven consolidation in healthcare has doubled over the last two decades. Research shows that between 2010 and 2020, publicly reported transactions totaled at least $750 billion in deals nationwide to acquire hospitals, physician practices, nursing homes, hospices, and behavioral healthcare.

Author: Jondi Gumz

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Last updated: August 12, 2024


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