Finance and Reimbursement

Connecticut hospitals serve as the healthcare safety net for their communities, caring for all regardless of ability to pay.

  • In 2021, Connecticut hospitals provided $2.1 billion in unpaid hospital care to Medicare and Medicaid beneficiaries.  Government underpays caregivers for services provided to patients on Medicare and Medicaid, paying 80 cents on the dollar for Medicare patients and 68 cents on the dollar for Medicaid patients
  • Providing charity care for individuals who lack insurance or the ability to pay for their care also affects hospitals financially.  In 2021, hospitals in Connecticut spent $243.8 million on uncompensated care including charity care/bad debt to provide services for those who cannot pay
  • The year 2022 was the worst year financially for Connecticut hospitals since the pandemic began
  • Hospital expenses are $3.5 billion higher than pre-pandemic levels with rising expenses for labor, drugs, medical supplies, heat and electricity
  • The workforce shortage is also pushing hospitals to hire temporary, contract labor, which only adds costs

Connecticut hospitals remain in fragile financial health. The fundamental problem remains that the constant gap between current cost and payment is impairing the ability of Connecticut hospitals to meet today's obligations and prepare for tomorrow.


Reports and Publications

2023 Connecticut Hospitals Today

2023 Economic Impact Report

2023 Community Benefit Report

CHA Financial Health Report

Kaufman Hall CT Hospitals Financial Health


Resources and Links

Centers for Medicare and Medicaid Services

Office of Health Strategy