A hospital's teaching status could significantly alter its operating margin, as major teaching hospitals historically have had lower margins due to their research programs and high-cost cases.
According to a June report from the Medicare Payment Advisory Commission (pdf), the average overall all-payor margin at major teaching hospitals was 5.3 percent in 2010, which is higher than 1999 but still lower than other teaching and nonteaching hospitals.
Here are 36 statistics on the overall average all-payor margin at U.S. hospitals from 1999 through 2010, classified by teaching status. Note: Major teaching hospitals usually have a ratio of interns and residents to beds of 0.25 or greater. Other teaching hospitals have a ratio greater than zero but less than 0.25.
Major teaching hospital
Other teaching hospital
Nonteaching hospital
*The major drop in total margin from 2007 to 2008 reflects the investment losses suffered during the stock market crash in 2008.
According to a June report from the Medicare Payment Advisory Commission (pdf), the average overall all-payor margin at major teaching hospitals was 5.3 percent in 2010, which is higher than 1999 but still lower than other teaching and nonteaching hospitals.
Here are 36 statistics on the overall average all-payor margin at U.S. hospitals from 1999 through 2010, classified by teaching status. Note: Major teaching hospitals usually have a ratio of interns and residents to beds of 0.25 or greater. Other teaching hospitals have a ratio greater than zero but less than 0.25.
Major teaching hospital
|
1999 |
2000 |
2001 |
2002 |
2003 |
2004 |
2005 |
2006 |
2007 |
2008 |
2009 |
2010 |
|
1.6% |
2.3% |
1.1% |
1.3% |
2.4% |
3% |
3.5% |
4.5% |
5.2% |
-0.4% |
2.4% |
5.3% |
Other teaching hospital
|
1999 |
2000 |
2001 |
2002 |
2003 |
2004 |
2005 |
2006 |
2007 |
2008 |
2009 |
2010 |
|
4.2% |
4.3% |
4.3% |
4.4% |
4.9% |
4.9% |
5.2% |
6.2% |
6.8% |
2.2% |
4.9% |
6.9% |
Nonteaching hospital
|
1999 |
2000 |
2001 |
2002 |
2003 |
2004 |
2005 |
2006 |
2007 |
2008 |
2009 |
2010 |
|
4.6% |
4.5% |
4.9% |
4.7% |
5.1% |
4.6% |
5.2% |
5.3% |
5.9% |
2.9% |
4.9% |
6.6% |
*The major drop in total margin from 2007 to 2008 reflects the investment losses suffered during the stock market crash in 2008.
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