This story is from May 2, 2020

With OPDs closed, private hospitals in Andhra Pradesh face fund crunch

Private hospitals across Andhra Pradesh have reported serious financial distress with several patients postponing their treatment in order to avoid a visit fearing coronavirus (Covid-19) infection.
With OPDs closed, private hospitals in Andhra Pradesh face fund crunch
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VISAKHAPATNAM: Private hospitals across Andhra Pradesh have reported serious financial distress with several patients postponing their treatment in order to avoid a visit fearing coronavirus (Covid-19) infection.
Suspension of non-emergency surgeries and closure of outpatient departments as per central government directive has also added to their woes.
“Elective surgeries and referrals from outpatient services constitute a major portion of the revenue at any hospital.
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With both avenues closed, most hospitals are facing financial issues,” senior cardiologist Dr V Prasanth said, adding that the pandemic has posed a higher risk for smaller hospitals.
“While corporate hospitals have the infrastructure to ensure safety measures needed to treat patients, smaller hospitals and nursing homes which constitute 80% of private medical establishments lack resources. When patients cannot access smaller hospitals, they are forced to rely on the bigger ones,” Dr Prasanth added.
Doctors said financial distress has forced several small nursing homes to close down. “A number of medical establishments are at a risk of closing soon since their cash reserves have dried up,” orthopaedician Dr K S Praveen Kumar said.
Confirming the crisis, hospital owners and doctors in several cities said that many of them had to resort to 50% salary cut for their employees and if the trend continues, they have to go for retrenchment.
Speaking about patients postponing treatment, cardio thoracic surgeon Dr K Ravi said, “Some conditions fall into a gray zone of medical risk. While they may not be emergencies, many could become life threatening.”
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