Updated April 2026
Grade F, Poor Value
65 US hospitals carry a HospitalCostData Value Score grade of F, averaging $26,368 in Medicare total payment and an average CMS Hospital Compare star rating of 1.3.
F-grade is the lowest bracket on the LakeQuality value rubric — payment levels and quality measures combine unfavorably. 65 hospitals carry the grade.
F-grade is rare on the LakeQuality value rubric. The combination of high payments and low quality measures is unusual; most F-grade hospitals show specific measure-set failures alongside payment levels at or above the national median. The value grade is one summary number — useful for triage when comparing facilities, but the underlying components (cost data, mortality measures, safety measures, readmission measures, patient experience) tell the full story. Each hospital page links to all of them.
What Grade F Means
F-grade hospitals score below 35 on the Value Score. A low aggregate grade does not mean a hospital is unsafe — CMS publishes the underlying domain measures so patients and physicians can review which specific dimensions drive the score.
These hospitals score below 35 on the Value Score. A low aggregate score does not mean unsafe care — CMS publishes the underlying domain measures so patients can review which dimensions drive the composite. The Value Score is editorial — built on top of public Medicare payment data and CMS Hospital Compare quality measures — and it is a starting reference, not a clinical recommendation. CMS Hospital Compare publishes its own federal star rating that is independent of price.
Cost Picture for the Grade F Cohort
Average payments in the Grade F cohort sits well above the national Medicare payment baseline — about 66% over the national average. The top reimbursement tier typically pulls in academic centers, large urban referral hospitals, and facilities with high-acuity case mixes that lift average DRG weights.
Within the cohort, hospital-to-hospital variation reflects regional Medicare wage indexes, case mix, teaching status, and outlier-payment adjustments — the same drivers that move pricing across every CMS DRG. The Grade F hospitals cohort spans 65 hospitals, large enough that averages reflect the segment but small enough that high-volume outliers can move the mean noticeably.
For non-Medicare patients, the more relevant figure than the Medicare average is the negotiated commercial rate or cash-pay rate, published by every hospital under the CMS Hospital Price Transparency Rule.
Quality Within Grade F
Average CMS Hospital Compare star rating across the Grade F cohort is 1.3, with 42 hospitals carrying a 1-star rating. CMS publishes the underlying mortality, readmission, safety, infection, and patient-experience domain measures alongside the composite — useful when a Value Score grade does not match expectations from the headline star rating.
For deeper clinical context, the Agency for Healthcare Research and Quality (AHRQ) Patient Safety Indicators and Inpatient Quality Indicators feed many of these CMS measures and are useful for comparing acute-care facilities directly.
All Grade F Hospitals
Frequently Asked Questions
What does a Value Score grade of F mean?
F-grade hospitals score below 35 on the Value Score. A low aggregate grade does not mean a hospital is unsafe — CMS publishes the underlying domain measures so patients and physicians can review which specific dimensions drive the score.
How many hospitals carry a Grade F?
65 US Medicare-participating hospitals carry a Grade F in the current dataset. The Grade F hospitals cohort spans 65 hospitals, large enough that averages reflect the segment but small enough that high-volume outliers can move the mean noticeably.
Are Grade F hospitals more expensive on average?
Average Medicare total payment across the Grade F cohort is $26,368. Average payments in the Grade F cohort sits well above the national Medicare payment baseline — about 66% over the national average. The top reimbursement tier typically pulls in academic centers, large urban referral hospitals, and facilities with high-acuity case mixes that lift average DRG weights.
How does Grade F relate to CMS Hospital Compare star ratings?
The Grade F cohort has an average CMS Hospital Compare star rating of 1.3 across rated facilities, with the largest sub-segment carrying 1-star CMS ratings (42 hospitals). The Value Score grade is editorial; the CMS star rating is a federal quality composite. They are different and best read together.
Should I avoid hospitals based on grade alone?
No. The Value Score is informational, not a clinical recommendation. A low Grade can reflect higher prices for legitimate reasons (academic case mix, longer lengths of stay, regional wage indexes). Always look at the underlying CMS Care Compare quality measures and discuss any planned admission with your physician.
See the methodology page for the full Value Score formula, scoring weights, and known limitations.
Sources & Citations
- CMS Medicare Inpatient Hospital Payments (IPPS). DRG-level average covered charges, total payments, and Medicare payments per facility. data.cms.gov
- CMS Hospital Compare (Care Compare). Star ratings, mortality, readmission, safety-of-care, and patient-experience measures. medicare.gov/care-compare
- CMS Hospital Price Transparency Rule. Standard charge files required from every Medicare-participating hospital. cms.gov/hospital-price-transparency
- Agency for Healthcare Research and Quality (AHRQ). National benchmarks, quality indicators, and clinical context for hospital outcome measures. ahrq.gov
Dataset last refreshed: April 2026. Underlying CMS files are public domain. Suggested citation: “HospitalCostData, hospitalcostdata.com, accessed May 24, 2026.”
This page is informational only and does not constitute medical, legal, or financial advice. Care decisions should be made with a licensed physician.
Source: CMS Hospital Price Transparency, 2026.