About Alabama’s Hospitals

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Most people don’t think about hospitals until they have to use them.  Yet, there is a lot that goes on inside the walls of a hospital … healing, hope and employment for hundreds of people.   Here are some things you may not know about Alabama’s hospitals.

Quick facts:
  • 109 general, community hospitals, plus additional specialty hospitals
  • 58,000 babies born each year
  • Almost 700,000 inpatients and 1.8 billion outpatient visits annually
  • Click for a hospital directory, including links by county.
 Huge economic impact:
  • Provide 80,000 jobs, plus another 78,000 jobs indirectly
  • Provide about $4 billion in salaries and benefits, which results in another $2.7 billion indirectly for a total of $6.7 billion in labor income for the state.
  • Overall economic impact is $17.9 billion each year!
 Continually improving care:
  • Alabama was ranked number one in the country in the first year of Medicare’s pay-for-performance program (an incentive program based on quality improvement and achievement).
  • Recent CDC report ranked Alabama and California as top two states in the nation in infection prevention when considering infections currently being reported by hospitals.
  • Find out more about Alabama’s hospitals and their quality efforts and scores  – Join the Health Journey.
Threats to these assets:

There are several financial challenges facing hospitals that we believe community leaders should know about, ones that threaten the viability of many hospitals:

  • Expenses continue to rise.
  • Revenue continues to decrease.
  • Alabama’s hospitals get paid almost half as much as hospitals in other states due to inequitable payment formula. Learn more.
  • About 10 percent of Alabama’s hospital patients don’t have insurance, resulting in $300 million each year in free care.
  • All of this has resulted in an average operating margin for Alabama’s hospitals of .8 percent, with 79 percent of hospitals operating with a negative margin. Find out More.
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