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Showing posts from July, 2017

Hospitals rely on private sector funding more and more

The Canadian Institute for Health Information (CIHI) reports that total expenditures on Ontario hospitals increased to $23.7 billion in 2016.

This is an increase of 2.4% since 2015 and 6.1% since the 2012. While provincial government expenditures increased 4.7% over the four years between 2012 and 2016, private sector expenditures on hospitals increased at a much faster rate -- 15.8%. That is more than three times the percentage increase of the provincial government increases. 

Private sector expenditures increased $124.9 million in 2016 to $3.62 billion.  That was a typical increase. The four year private sector increase was $493.1 million, averaging $123.3 million per year.  

That's  a lot more than chump change. Key types of private sector payments to hospitals are payments by private insurance companies and out-of pocket payments by individuals. 

Hospitals are now relying significantly more on private sector funds.  In 2012 private sector expenditures accounted for 13.99% of to…