Patients with pneumonia or COPD faced higher mortality risks and readmission rates at facilities owned by private equity firms, according to new research.
RT’s Three Key Takeaways:
- Higher Mortality Rates: Patients hospitalized with pneumonia at private equity-owned facilities experienced a 1-percentage-point increase in mortality compared to those at other hospitals.
- Increased Readmission Risks: The study found that patients treated for COPD at private equity hospitals were more likely to be readmitted within 30 days of discharge.
- Need for Regulation: Researchers suggested that the drive for short-term profits in private equity may conflict with high-quality patient care, necessitating stronger oversight of hospital acquisitions.
Patients treated for COPD or pneumonia face worse health outcomes at US hospitals acquired by private equity firms, according to research presented at ATS 2026.
The research marks the first time a link has been established between private equity acquisitions and declining health outcomes for these specific pulmonary conditions. Data showed that patients with pneumonia are more likely to die during their hospital stay at private equity-owned facilities, while patients with COPD are more likely to return to the hospital within 30 days of discharge.
“Our findings add to growing concerns around the detrimental effects of private equity in healthcare and highlight a critical need for stronger regulations of these acquisitions to protect our patients,” said Stephen Mein, a pulmonologist at Beth Israel Deaconess Medical Center and researcher at the Richard A and Susan F Smith Center for Outcomes Research in Boston, in a news release.
The number of US hospitals acquired by private equity firms is rapidly increasing. Previous research has indicated that when hospitals are acquired by these firms, patients report worse experiences with care and have higher rates of hospital-acquired adverse events, such as falls, and bloodstream infections. However, few studies had previously examined how private equity ownership impacts specific diseases like COPD and pneumonia, which are the most common lung-related reasons for hospital admission.
For the study, researchers analyzed data from more than 146,900 COPD encounters and 194,900 pneumonia encounters at private equity hospitals. They matched these facilities with a control group of hospitals not owned by private equity firms to compare outcomes.
The results showed a 1-percentage-point increase in 30-day readmissions for COPD patients and a nearly 1-percentage-point increase in deaths among pneumonia patients at private equity-owned sites.
“The rise in deaths among patients hospitalized with pneumonia is especially concerning,” said Mein. “While a 1-percentage-point increase may sound small, it represents a substantial change when the typical in-hospital mortality rates for patients with pneumonia is only 3 percent to 4 percent.”
Mein noted that private equity firms are often incentivized to generate profits over short time periods, a goal that may not always align with delivering high-quality care.
More information
Session/Presentation: C16
Markets and Mandates: Health Policy and Pulmonary Outcomes;
Clinical Outcomes for Pulmonary Conditions Worsened After Private Equity Acquisition of US Hospitals
Date and Time: Tuesday, May 19, 9:15 a.m.
Location: W110B (Level 1, OCCC West Concourse)
Agree that 1% is small and statistically insignificant. However, did your study identify what differences in medical practice resulted in the morbidity and mortality; e.g. differences in surveillance and physician ordered treatment?
I can attest to the private equity hospital article. I will only work for non-profits. I worked for and HCA hospital in Florida. Never again!! Horrible , passive-aggressive staff, very under-staffed, no oversight of physicians with bad attitudes and poor skills. The list is long. And this was 20 years ago.