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The health care sector has seen a welcome slowdown in bankruptcy filings in 2025, with about one-third as many petitions filed so far this year through October, based on data from Becker’s Hospital Review. The industry has recorded at least 19 bankruptcy filings this year through October 2025, which is on track to be a significantly lower rate for the year than in 2024 and 2023. Health care companies reported 57 filings for the year in 2024 and 79 cases in 2023. It’s also fewer than half the annual filing average of 42 each year from 2019 through 2022, according to Gibbins Advisors. Annual healthcare bankruptcies: 2025, 19 bankruptcy filings (through October) 2024, 57 filings 2023, 79 filings Health care company bankruptcies, however, might ramp up in 2026, if President Trump and Congress do not extend the Affordable Care Act subsidies that are scheduled to expire at the end of 2025. Enhanced premium tax credits introduced under the American Rescue Plan Act and extended by the Inflation Reduction Act reduced average premium payments by more than 50% for marketplace enrollees, according to the American Journal of Managed Care. Millions could lose health insurance The Congressional Budget Office projects that if these subsidies expire in January 2026, premiums could rise substantially, and up to 4 million people could lose coverage. Hospitals and community health care providers will face increased uncompensated care burdens as uninsured rates rise. Safety-net hospitals and rural facilities operating on narrow margins could be particularly vulnerable, the American Journal of Managed Care noted. With a loss of coverage, fewer patients would be able to pay for services, which could lead to higher levels of bad debt and reduced financial stability. Health care providers and facilities would be at risk of a huge financial burden that could drive them into bankruptcy protection. One of the latest healthcare providers to file for Chapter 11 protection turned to bankruptcy court after disputes among its entities. Glutality Global files for bankruptcy protection Major health care technology company Glutality Global Holdings LLC and at least seven affiliates, which specialize in remote patient monitoring for people with high-risk diseases like diabetes, filed for Chapter 11 protection to reorganize their business and restructure their debts, according to RK Consultants. The Boca Raton, Fla.-based health care company filed its Subchapter V petition in the U.S. Bankruptcy Court for the Southern District of Florida in West Palm Beach on Oct. 31, listing $100 million to $500 million in assets and liabilities. The filing was precipitated by internal disputes, RK Consultants reported, but no specific details were revealed. Glutality monitors patients with diabetes Glutality, founded in 2010, is a cloud-based remote patient monitoring system that integrates advanced cellular connectivity in key medical devices, such as glucometers, scales, and blood pressure cuffs, with its diabetes management platform, according to its website. Patient-generated health data enables around-the-clock, at-home monitoring for patients with diabetes, previously only available in clinical settings. More bankruptcy: 34-year-old casual dining chain files for Chapter 11 bankruptcy Major seafood company files for Chapter 11 bankruptcy 55-year-old women’s fashion company files Chapter 11 bankruptcy The early detection of associated risk factors leads to a timely response to any issues and reduced risk of costly hospitalization, according to Glutality. The parent company’s affiliates that also filed for bankruptcy protection include Glutality Provider Group P.A., Glutality Provider Group of California P.C., Glutality Provider Group of Kansas P.A., Glutality Provider Group of New Jersey P.A., Sam Health, Stride Slim, and Welco Track Services. Glutality entities that filed for bankruptcy:
