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Report Analyzes Reasons Behind Rising Hospital Costs in Colorado

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A new report – Cost Shift Analysis Report – from Colorado Healthcare Affordability & Sustainability Enterprise, reviewed the healthcare cost landscape in Colorado. The report introduces new research by the Colorado Department of Health Care Policy and Financing that analyzes the reasons behind rising hospital costs, which comprise the largest portion of health care spend. The report focused on the cost shift to commercial payers. The Department concludes that while the 2009 Colorado Health Care Affordability Act (CHCAA), (replaced by the 2017 Colorado Healthcare Affordability and Sustainability Enterprise (CHASE) Act), and the federal 2010 Affordable Care Act (ACA) led to increased Medicaid payments to hospitals, a reduction in the number of Colorado’s uninsured, less bad debt and less charity-care write-off for hospitals, these positive outcomes did not result in a reduction in hospital cost shift to other payers. The report analyzed cost shift data from calendar year 2009 through calendar year 2017.

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