With COVID-19 raging, American hospitals have already had a challenging year as the pandemic has hurt revenues and depressed volumes of elective patient procedures.
Depending on who fills Ruth Bader Ginsburg’s vacancy in the Supreme Court of the United States, hospital revenues could take another hit, according to Fitch Ratings.
If the court strikes down the Affordable Care Act in a pending decision regarding the severability of the individual mandate, hospitals would see fewer insured patients and lower reimbursement rates, which would negatively affect their revenue, according to Fitch.
After the ACA went into effect in 2010, hospitals saw an increase in insured patients and a reduction of uninsured patients, according to Fitch.
Right now, about 25 million Americans have coverage through the health insurance expansion elements of the legislation. Before the ACA’s expansion took effect, roughly 13.5% of Americans lacked health insurance, according to the U.S. Census Bureau. With