About Finance & Reimbursement
California’s hospitals are under duress, facing crippling inflation and systemic underfunding by government payers — Medi-Cal and Medicare. Every day, over half of California’s hospitals lose money caring for patients. The 2023-24 state budget reauthorizes California’s managed care organization tax, dedicating much of the revenue to support for Medi-Cal enrollees. But without meaningful change to Medicare and Medi-Cal, the most vulnerable Californians will continue to be left behind. Health insurance companies must also do their part to protect essential services, including timely reimbursement and processing of claims. reimbursement and processing of claims.
Infographic: California Hospitals’ Uncertain Future
Issue Brief: Systemic Reimbursement Shortfalls Must Be Fixed
Medicare and Medi-Cal underfunding have put the health care system on the precipice.
Key Messages: Headwinds for Hospitals Mean Uncertainty for Patients
California hospitals face growing challenges with government underfunding having the biggest impact.