Uncompensated care at Minnesota hospitals, including charity care and bad debt, increased by 26% in 2005 to $191.2 million, according to a report released Tuesday by the Minnesota Department of Health, the Minneapolis Star Tribune reports. The report found that the two year increase in uncompensated care rose nearly three times as fast as hospital operating costs, 48.5% compared with 18.7%, respectively. Uncompensated care costs increased by 18% in 2004, compared with 2003, and between 2000 and 2003, the level of uncompensated care remained steady, according to the report. Amy Harris, communications director for the Minnesota Hospital Association, said uncompensated care likely has increased because hospitals "are doing a better job of informing people about their charity care policies and moving them into the system." The report recommends that hospitals streamline charity care and debt-collection practices. The report also recommends that hospitals post their charity care policies in public areas and on their Web sites and provide charity care and insurance information to all uninsured patients. According to the Star Tribune, the report was requested by legislators and is expected to be used as they debate universal health care proposals this year (Phelps, Minneapolis Star Tribune, 1/16).

"Reprinted with permission from kaisernetwork. You can view the entire Kaiser Daily Health Policy Report, search the archives, or sign up for email delivery at kaisernetwork/dailyreports/healthpolicy. The Kaiser Daily Health Policy Report is published for kaisernetwork, a free service of The Henry J. Kaiser Family Foundation . © 2005 Advisory Board Company and Kaiser Family Foundation. All rights reserved.

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