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Los Angeles and San Diego Health Care Markets

Posted Jan 30 2013 12:00am

The California Healthcare Foundation has produced two market studies of the Los Angeles and San Diego health care markets. Key findings from the Los Angeles study include:

  • The area’s dense urban environment has given rise to a large, fragmented health care market.
  • Health care reform and a drop in private insurance enrollment have led to new affiliations among providers to gain more patients.
  • The region’s safety-net system has expanded its capacity to adapt to Medi-Cal’s growing enrollment under health reform.

Key findings from the San Diego study include:

  • Despite the area’s relative affluence, private insurance has eroded and public coverage has risen.
  • The safety-net system has expanded capacity, in anticipation of Medi-Cal expansion.
  • Hospitals have been focused on cutting costs, adding additional beds through new construction, and investing in lucrative service lines.
  • As Kaiser Permanente continues to offer more affordable insurance options, health plans and providers are collaborating to provide limited-network insurance products that feature lower premiums, limited-provider networks, and Accountable Care Organizations (ACOs).


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