As more procedures shift to the outpatient setting, many ASCs are feeling the financial squeeze, with rising costs and stagnant reimbursements making it increasingly difficult to maintain healthy margins.
Indianapolis-based Indiana University Health posted $257 million in operating income in 2024 at a 2.8% operating margin, down from a $343 million operating income (4% margin) in 2023, according to its most recent financial report.
Research over the last several decades has shown that the value of a traditional annual physician exam is relatively low. But healthcare systems are rethinking that stance — not by returning to the traditional model, but by redesigning it entirely.
As health systems navigate workforce shortages and increasing patient demand, Providence and Sanford Health are leaning on virtual care as a tool to enhance access, improve outcomes and streamline care delivery.