Sunday, February 15, 2015

New Jersey Non-Profit Hospital Net Assets (Financial Strength) Up a Massive 202% Since 2008 Financial Meltdown ..... The Main Reason Health Insurance Premiums Are Now So Reasonable on Health Insurance Exchange

From a review of the Electronic Municipal Market Access (EMMA), I found 8 Non-Profit Hospital Organizations all headquartered in the State of New Jersey with Net Assets (i.e. Financial Strength or Total Assets minus Total Liabilities) at the most recent date reported of more than $400 mil each.

Below here are the Net Assets of these 8 New Jersey Hospital Organizations at both the most recent reported date and also at the end of the Fiscal Year which included the late 2008 US Financial Meltdown:

Net Net

Assets Assets


Balance Balance Increase

Sheet Sheet Since

Date Date FYE

Most Recent
Including Including Including

Recent Balance
2008-09 2008-09 2008-09

Balance Sheet
City State Sheet Net
Financial Financial Financial
US Hospital Organization HQs HQs Date Assets
Meltdown Meltdown Meltdown

mil $s
mil $s

AHS (Atlantic Health System) Hospital Morristown NJ  Dec 14      1,403
Dec 08         510 175%
Virtua Health Marlton NJ  Dec 14      1,281
Dec 08         566 126%
Robert Wood Johnson University Hospital New Brunswick NJ  Dec 14         962
Dec 08         457 111%
Meridian Hospitals Red Bank NJ Sep 14        946
Dec 08         339 179%
Barnabus Health West Orange NJ  Dec 14         922
Dec 08        (290) 324%
Hackensack University Medical Center Hackensack NJ  Dec 14         597
Dec 08         297 101%
AtlantiCare Regional Medical Center Galloway NJ Sep 14        532
Dec 08         262 103%
Cooper Health Obligated Group Camden NJ  Dec 14         492
Dec 08         218 126%

Total all 8


      2,359 202%

As you can see from the above chart, the Total Net Assets (Financial Strength) of these 8 largest New Jersey Hospital Organizations totaled $7,135 mil, up an off-the-charts 202% from such Total Net Asset amounts of $2,359 mil at their fiscal year ends which included the 2008-09 US Financial Meltdown.

With such an incredibly impressive New Jersey Hospital Net Asset percentage increase, a key beneficiary of this will be New Jersey citizens who have elected or will be electing to buy health insurance on the Health Insurance Exchange.  This superb Net Asset growth has given and will continue to give these New Jersey Hospitals the financial flexibility to moderate their pricing for hospital and other health care procedures in their negotiations with health insurance companies which ultimately determines what insurance premium prices are set at by health insurance companies on the Health Insurance Exchange.