Potential Merger of BJC and St. Luke's Hospitals Raises Concerns Over Cost for Missourians

The planned merger of BJC HealthCare and Saint Luke’s Health System is expected to create a clear market leader in Missouri, which could lead to higher hospital prices for consumers. Health economists say there is clear evidence that hospital mergers lead to higher prices, which trickle down to consumers. The merger is likely a play to give the combined system greater leverage in its negotiations with employers and insurers in Missouri. The hospitals’ financials indicate that both systems have taken a hit to their profits, and the merger is seen as a way to bring in more revenue and efficiencies.