Federal relief funding fails to reach most affected hospitals


 Following the massive cyberattack on Change Healthcare, which paralyzed billing systems nationwide, the federal government launched a relief program to help hospitals stay afloat. However, new research from the University of Minnesota suggests this financial lifeline missed many of those who needed it most. The study analyzed the distribution of funds and found that the money largely went to hospitals that were already financially stable and had large reserves of cash. Meanwhile, smaller hospitals and clinics, which operate on thin margins, received very little support.

The issue stems from how the relief program was structured. It was based on historical billing data that many smaller providers couldn't easily access or leverage during the crisis. As a result, the "safety net" worked well for big health systems but failed the vulnerable clinics that serve rural and low-income communities. The researchers argue that future relief efforts must be designed differently. Instead of a one-size-fits-all approach, funding should be targeted based on actual financial need to prevent essential community providers from collapsing during cyber disasters.

Read the original article at: https://medicalxpress.com/news/2025-12-impact-federal-relief-major-health.html


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