Daily coverage of emergency rooms and intensive care units overwhelmed with coronavirus patients could give an impression that hospitals are profiting. The reality presents a stark contrast, with the sector’s recovery seeming distant.
In May, the American Hospital Association estimated $202.6 billion in losses for the period of March to June. Canceled and postponed non-emergency or elective procedures accounted for much of this projected impact on health systems and hospitals nationwide.
Additionally, pandemic-related expenses, such as purchasing personal protective equipment and added support for healthcare workers, also caused a strain.
The AHA updated its forecast two months later, adding $120.5 billion in losses from July to December 2020. This projection would equal $323.1 b...