These 2 Montana Non-Profit Hospital Organizations generated Total Bottom Line Net Income of a very reasonable 6.8% of Total Operating Revenues in 2013 and a more modest 6.1% in 2012.
Below are the Bottom Line Net Income and Total Operating Revenues for both of these Montana Non-Profit Hospital Organizations for both 2013 and 2012:
|Montana Hospital Organ||City HQs||End||Income||Revenues||Margin||Income||Revenues||Margin|
|mil $s||mil $s||%||mil $s||mil $s||%|
|Benefis Health System||Great Falls||Dec 13||15||329||4.6%||17||341||5.0%|
|Bozeman Deaconess Health Services||Bozeman||Dec 13||22||213||10.3%||16||197||8.1%|
|Total of both||37||542||6.8%||33||538||6.1%|
More than anything, Hospital Patient Charges drive US Health Care Costs. When you view a typical US Hospital bill for patient services, it is easy to understand why US Health Care Costs are so much higher than that in any other major country.
One reason US Hospital bills are so high is that many of the larger Non-Profit Hospitals Systems set their pricing for hospital procedures so that they make a lot of money and retain it tax free, further increasing their already massive treasure chest of Investments in Equity and Debt Securities, which also grow tax free.
Thus, US Hospitals are playing a key role in determining ultimately whether health insurance premiums are fairly priced on the health insurance exchanges.
Well, as you can see from the above modest profit amounts, Montana is one State whose larger Non-Profit Hospital Organizations, for the most part, are not being greedy in generating high profits.
With Montana Hospitals generating such modest profits, a key beneficiary will be Montana citizens buying health insurance on the Health Insurance Exchange. Montana Hospitals, for the most part, have not been nor will they be baking in excessive Hospital profits demands in their negotiations with health insurance companies on pricing for hospital procedures which ultimately determines what insurance premiums are set by health insurance companies on the Health Insurance Exchange.