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January 13, 2025

Patient Care Declines After Private Equity Acquisitions, Study Reveals

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Contributed by: Kate Gamble
Summary
A recent study indicates a decline in patient care experiences at hospitals acquired by private equity firms, contrasting with improvements observed at non-acquired hospitals. By analyzing patient satisfaction ratings from 73 private equity-acquired hospitals and 293 control hospitals between 2008 and 2019, researchers found that the percentage of patients rating their care as a 9 or 10 remained stagnant at 65%, while ratings at control hospitals rose from 66.2% to 69.2%. Furthermore, patient recommendations for acquired hospitals decreased, highlighting a growing disparity in patient perceptions over time. The results suggest that organizational changes after private equity acquisitions may negatively impact care quality, a trend that appeared more significant than the national decline seen during the COVID-19 pandemic.

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