HC3 unveils State of Chicago Health Care Report
Ahead of its two-year anniversary, the Health Care Council of Chicago (HC3), a collaborative of Chicago’s nationally-recognized health care industry players that drives solutions to the city’s most important health-related issues, has released its second annual report on the state of the Chicago health care industry. The report reaffirms that Chicago’s health care industry is robust and growing along with health care’s growth nationwide, with particular strength in the provider, digital health, and life sciences sectors. Propelling the growth is an aging population with more and increasingly complex chronic conditions.
“The incredible potential of Chicago’s health care ecosystem can’t be overstated,” said David Smith, Co-founder of HC3. “This year’s paper shows that Chicago’s growing, vibrant, and dynamic health care community is increasingly diverse and well-positioned to address our city’s most important health care-related issues.”
The report includes an analysis of some of the multi-faceted aspects of Chicago’s health care industry, including trends across the health care sectors, capital formation, health care innovation and incubation, health equity, and public health. Key trends and conclusions include:
Important gubernatorial and mayoral elections will redefine the role of policy makers in health care.
Provider consolidation continues to be the leader in deal activity across the industry, with the potential of hastening the city’s transition away from fee-for-service payment.
The state’s Medicaid program continues to operate in a state of flux, with key policy and commercial decisions resting on electoral outcomes.
Chicago has seen an unprecedented amount of venture funding, which is consistent with national trends. In the 126 deals tracked since last year’s report, 119 companies received seed to follow funding for a total of $613 million.
There is an unsettling erosion of research and biotech investing in Chicago, with companies moving assets out of Chicago.
Innovation Cities Index ranked Chicago 11th out of 500 benchmarked cities. The index is a measurement of startup activity and health of the economy.
Health disparities and underlying challenges with social determinants of health continue to exacerbate a tale-of-two-cities narrative. The 16-year life expectancy variation in Chicago is on par with the difference between the United States and Iraq.
“Health care is increasingly complex and so is the task of addressing its most pressing challenges: access, costs, and disparities,” said Steven Collens, CEO of MATTER and Co-founder of HC3. “Our member colleagues drive action to address these challenges, particularly economic development, health care transformation, and health disparities, as highlighted in the report.”
HC3 and its partners are committed to building and putting into action solutions that improve health care in Chicago.
About the Health Care Council of Chicago
The Health Care Council of Chicago (HC3) is an action-oriented collaborative that brings leaders from across the health care ecosystem together to help support business growth and solve Chicago’s most important health-related issues. HC3 exists in response to members’ desire to impact health-related issues. Founded by Leavitt Partners and MATTER, HC3 is growing into an independent, dynamic and member-led organization that is shaped by the leaders of some of Chicago’s most impressive and well-known health care organizations. HC3 members are leaders in every segment of the health care industry and are united in their hunger for innovative solutions and desire to work together to drive change. HC3 currently has 60 members.