Hospital Payment-to-Cost Ratios for Medicare, Medicaid and Private Payers 1993–2003
Private payer reimbursement rates are consistently above break-even costs.
Note: Payment-to-cost ratios indicate the degree to which payments from each payer covers the costs of treating that provider's patients. Data are for community hospitals and cover all hospital services. Imputed values were used for missing data (about 35% of observations). Most Medicaid managed care patients are included in the private payers' category. Source: Adapted from the American Hospital Association and the Lewin Group TrendWatch Chartbook, 2005