Diverging Paths: Medicaid Expansion vs. Non-Expansion States

Source: Jason Beakas, Lancaster Pollard, Capital Issue, December 2014-January 2015

…. As we near the end of the first full year of Medicaid expansion, it’s clear that the program is changing the landscape of the uninsured population in the U.S. and the financial outlook for hospitals. Specifically, expansion state hospitals are experiencing increasing insured volumes and rapidly decreasing uncompensated care costs, which has driven many credit rating upgrades. The positive outlooks by all of the major credit rating agencies mean that hospitals in expansion states may have stronger financial positions and more borrowing power heading into 2015. ….