February 28, 2003

Long-Term Perils Persist at University Hospitals Even as Current Financial Pressures Ease

Financial pressures on academic medical centers are easing over all. But rising costs and growing numbers of uninsured patients still threaten the institutions' long-term survival, says a new report.

The slow economy, Medicare cuts, and "double-digit cost inflation" in the health-care sector also will continue to place stress on the medical schools and their affiliated teaching hospitals and clinics, says the report by the Commonwealth Fund's Task Force on Academic Health Centers.

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