BOSTON – A massive hospital system with locations in Massachusetts filed bankruptcy in the early morning hours of Monday.

Gov. Maura Healey said the administration will do what it can to protect local access to health care. It's already installed a website and call center for patients. 


What You Need To Know

  • Steward Health Care filed for Chapter 11 bankruptcy protections on Monday

  • Gov. Maura Healey says the administration will do what it can to protect local access to health care

  • Steward Health Care has eight hospitals operating mainly in Eastern Massachusetts

  • No hospitals are closing right now, but it’s a real concern for the future

Steward Health Care's filing for Chapter 11 bankruptcy protections on Monday was not a shock to Massachusetts leaders. They have been preparing for it for weeks. But they say the public needs to know the hospitals are still open and safe. 

“When you wake up to news that this major hospital system in Massachusetts has filed bankruptcy, that can cause a lot of alarm and concern among residents, but I wanted to be here today with our team to tell people that we have been preparing for this,” said Healey. 

Steward Health Care has eight hospitals operating mainly in Eastern Massachusetts. Although it’s bankruptcy filing doesn’t directly impact Central or Western Massachusetts patients now, the instability of the health care system could create major problems like longer wait times in emergency rooms statewide and more competition for appointments with specialists. 

“Steward’s challenges are unique and gargantuan right now, but they're not the only health system that we're worried about and trying to support,” said Kate Walsh, secretary of the Health and Human Services Department. 

No hospitals are closing right now. But it’s a real concern in the future. 

“The potential loss of any of these facilities would have devastating consequences for hundreds of thousands of residents, from the South Shore to southern New Hampshire,” said Julie Pinkham of the Massachusetts Nurses Association. 

Steward is based in Texas, and where the bankruptcy hearings will take place.

The governor says having the court be more involved will ensure transparency, and the state is sending a team of lawyers to ensure Massachusetts' interests are represented. 

“We will be making the appropriate filings, and we will be advocating as strongly and as aggressively as possible for Massachusetts interests. And those interests are patients' jobs and the stability of the health care market,” said Healey. 

The Department of Health and Human Services says they’ve been in contact with insurance providers and insurance will still cover Steward health care hospitals as long as they are open.  

The Department of Public Health stressed it’s safe to go to the hospitals during this time, and if you are having a medical emergency, don’t drive past them. 

Steward Health Care released a statement after the court filings Monday:

“Steward Health Care has done everything in its power to operate successfully in a highly challenging health care environment. Filing for Chapter 11 restructuring is in the best interests of our patients, physicians, employees, and communities at this time,” said Dr. Ralph de la Torre, chief executive officer of Steward. “In the past several months we have secured bridge financing and progressed the sale of our Stewardship Health business in order to help stabilize operations at all of our hospitals. With the delay in closing of the Stewardship Health transaction, Steward was forced to seek alternative methods of bridging its operations. With the additional financing in this process, we are confident that we will keep hospitals open, supplied, and operating so that our care of our patients and our employees is maintained. By working collaboratively with stakeholders in this court-supervised controlled environment, and having the benefit of our earlier strategic efforts, Steward will be better positioned to responsibly transition ownership of its Massachusetts-based hospitals, keep all of its hospitals open to treat patients, and ensure the continued care and service of our patients and our communities.”