How 3 dozen US health systems are pursuing for-profit ventures abroad

About three dozen of the largest health systems in the U.S. have augmented their revenues by establishing an overseas presence, Kaiser Health News reported June 22.

Cleveland Clinic, UPMC, Baltimore-based Johns Hopkins Medicine and Cincinnati-based Bon Secours Mercy Health are among the health systems pursuing such ventures, which usually are erected in Europe and the Middle East. 

Since they provide charity care and services that benefit local communities, these nonprofit health systems pay little or no taxes in the U.S. However, research shows that the cost of U.S. health systems' charity care usually is lower than the taxes from which they are exempted.

American health systems' international ventures are more brazenly commercial, as they usually offer profitable elective surgeries and don't provide less lucrative services, such as emergency care. These ventures attract mainly American expatriates, patients who value the health system's reputation and those dissatisfied with their country's healthcare services.

"As we go to different areas around the world, we learn and we continuously improve for all our patients," Brian Donley, MD, CEO of Cleveland Clinic's $1 billion dollar venture in London, told Kaiser Health News

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