Procedures performed in freestanding surgery centers cost less than those performed in hospital settings, and it's an area poised for growth, Axios reports.
The number of procedures done in outpatient surgery centers is expected to increase by 4 million from 2018-21, reaching 27 million, according to Bain & Co. If the consulting firm's estimates are correct, $43 billion worth of procedures will take place in surgery centers.
Medicare has indicated it will begin paying more for outpatient procedures, and health insurers, hospitals and private equity firms have taken note. For instance, hospital operators Dallas-based Tenet Healthcare and Nashville, Tenn.-based HCA Healthcare have taken ownership in 120-plus surgery centers apiece.
UnitedHealth Group's $2.3 billion acquisition of Deerfield, Ill.-based Surgical Care Affiliates and Bain Capital's majority stake in Surgery Partners are further evidence of the outpatient shift, according to Axios.