Sunday, February 15, 2015

Virginia Non-Profit Hospital Net Assets (Financial Strength) Up 126% 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 9 Non-Profit Hospital Organizations all headquartered in the State of Virginia 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 9 Virginia 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

Inova Health System Falls Church VA Sep 14     4,429
Dec 08      1,885 135%
Sentara HealthCare Norfolk VA Sep 14     3,966
Dec 08      1,489 166%
Virginia Commonwealth Univ Health Richmond VA Sep 14     1,686
Jun 09         756 123%
Virginia Hospital Center Arlington Arlington VA Dec 14        784
Dec 08         351 123%
Valley Health System Winchester VA Sep 14        755
Dec 08         434 74%
St Marys Hospital Richmond VA  Nov 14         615
Aug 09         373 65%
Carilion Clinic Roanoke VA Dec 14        582
Sep 09         357 63%
Centra Health Lynchburg VA Dec 14        535
Dec 08         233 130%
Augusta Health Care Augusta County VA Sep 14        449
Dec 08         229 96%

Total all 9


      6,107 126%

As you can see from the above chart, the Total Net Assets (Financial Strength) of these 9 largest Virginia Hospital Organizations totaled $13,801 mil, up a huge 126% from such Total Net Asset amounts of $6,107 mil at their fiscal year ends which included the 2008-09 US Financial Meltdown.

With such a very impressive Virginia Hospital Net Asset percentage increase, a key beneficiary of this will be Virginia 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 Virginia 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.