Industry
CHQPR: 698 Rural Hospitals Face Closure Risk Nationwide
The Center for Healthcare Quality and Payment Reform's October 28 analysis finds 698 rural hospitals, about one-third of all rural facilities nationally, at risk of closing, with 260 facing immediate risk. Risk exists in nearly every state except Utah, Delaware, Maryland and New Jersey, with 50% or more of rural hospitals at risk in 11 states. The figures are slightly improved from CHQPR's July and May 2026 reports. The analysis attributes most losses to underpayment by private insurers, including employer plans and Medicare Advantage, rather than Medicare or Medicaid, and estimates $4 billion in additional annual payments could prevent at-risk closures.
Why it mattersState Medicaid agencies and rural health stakeholders need to track which facilities are at risk since hospital closures directly reduce access to Medicaid-covered inpatient and emergency services in underserved areas.