Over the past decade, hospitals across the United States have been quietly closing their maternity units at an alarming rate. This trend represents not just a business decision, but a public health crisis that is creating maternal care deserts in communities that need access most.
The Scale of the Crisis
Between 2015 and 2024, more than 200 maternity units closed their doors across the United States. The impact has been particularly devastating in rural communities, where the nearest labor and delivery unit may now be more than an hour away.
This isn't just a rural problem. Urban and suburban hospitals are also reducing maternity services or closing units entirely, driven by financial pressures, staffing shortages, and the high liability costs associated with obstetric care.
Why Are Maternity Units Closing?
Several interconnected factors are driving this trend:
- Financial losses: Many hospitals lose money on obstetric services due to high staffing requirements, liability insurance costs, and reimbursement rates that don't cover expenses
- Staffing challenges: OB-GYN shortages make it difficult to maintain 24/7 coverage, especially in smaller facilities
- Declining birth rates: Lower volumes make it harder to justify the fixed costs of maintaining a maternity unit
- High liability costs: Obstetrics carries some of the highest malpractice premiums in medicine
- Regulatory requirements: Increasing requirements for specialized equipment and staffing ratios
The Human Cost
When a maternity unit closes, the consequences extend far beyond the hospital's balance sheet. Pregnant women must travel farther for prenatal care, leading to missed appointments and delayed intervention for complications.
"Every additional 10 miles a pregnant woman must travel to reach a hospital is associated with a measurable increase in out-of-hospital births and infant mortality."
Studies have shown that closures are associated with increases in preterm births, out-of-hospital deliveries, and travel times during emergencies—all factors that contribute to worse maternal and infant outcomes.
Technology as Part of the Solution
While there's no single solution to this complex crisis, technology can help hospitals that want to maintain their maternity services become more operationally efficient and financially sustainable.
Optimizing Staffing Efficiency
AI-powered predictive tools can help hospitals optimize their staffing models, reducing overtime costs while maintaining appropriate coverage. By accurately predicting patient census and delivery timing, hospitals can align staffing with actual demand rather than maintaining maximum coverage at all times.
Reducing Documentation Burden
Automated documentation tools reduce the administrative burden on clinical staff, allowing them to spend more time on patient care. This can improve both staff satisfaction (reducing turnover) and the overall efficiency of the unit.
Improving Risk Management
Better risk identification and documentation can help hospitals manage liability costs. When complications are identified early and interventions are well-documented, outcomes improve and defensibility increases.
Keep Your Maternity Unit Sustainable
See how Birth Model helps hospitals optimize L&D operations while improving patient outcomes.
Schedule a DemoA Call to Action
The closure of maternity units is a symptom of deeper systemic issues in how we fund and deliver maternal healthcare in America. Addressing this crisis requires action on multiple fronts: policy changes, reimbursement reform, workforce development, and operational innovation.
For hospitals that want to maintain their commitment to maternal care, investing in operational efficiency through technology is one important step. By reducing costs and improving outcomes, we can help ensure that communities continue to have access to the maternal care services they need.
At Birth Model, we're committed to helping hospitals maintain sustainable maternity services that serve their communities. Technology alone won't solve this crisis, but it can be part of the solution.