Legislation Targets Private Equity in Healthcare

Concerns are rising over the growing influence of private equity in healthcare, with various lawmakers and advocates pushing for increased oversight. California Attorney General Rob Bonta has introduced legislation requiring private equity firms to obtain state approval for healthcare acquisitions, aiming to counteract evidence linking these investments to higher costs and lower quality of care. Meanwhile, Senator Elizabeth Warren is challenging private equity's monopolistic practices in veterinary care, highlighting how such roll-ups pressure veterinarians to upsell services and tests. Research indicates that private equity ownership has surged, controlling significant portions of healthcare services, which has coincided with increasing healthcare costs and reduced access. Critics argue that the profit-driven model compromises patient care and places undue pressure on healthcare providers. Legislative efforts at both state and federal levels seek to address these issues and protect consumer interests.