Private Equity’s Provider Buyup Sparks Concern, but Big Insurers May Benefit

  • Jun 23, 2023

    Private equity (PE) ownership of physician practices and other providers has, on a national scale, led to higher prices in health care, experts said during a June 6 panel convened by the National Institute for Health Care Management (NIHCM) Foundation. One expert also added that health insurers are poised to benefit from the PE ownership trend in health care delivery, as insurers frequently snap up providers when PE entities “exit” their takeover of providers. 

    In his presentation, Atul Gupta, Ph.D., assistant professor of health care management at the University of Pennsylvania’s Wharton School of Business, made the case that “private equity [ownership of providers] has dramatically increased over the last few years.” 

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  • Peter Johnson

    Peter has worked as a journalist since 2011 and has covered health care since 2020. At AIS Health, Peter covers trends in finance, business and policy that affect the health insurance and pharma sectors. For Health Plan Weekly, he covers all aspects of the U.S. health insurance sector, including employer-sponsored insurance, Medicaid managed care, Medicare Advantage and the Affordable Care Act individual marketplaces. In Radar on Drug Benefits, Peter covers the operations of (and conflicts between) pharmacy benefit managers and pharmaceutical manufacturers, with a particular focus on pricing dynamics and market access. Before joining AIS Health, Peter covered transportation, public safety and local government for various outlets in Seattle, his hometown and current place of residence. He graduated with a B.A. from Colby College.

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