Practice Models Perspective: Concierge, Private Pay, Traditional Fee for Service
The latest report from the Physicians Foundation suggests that physicians working in independent practices continues to decline slightly. When this and other surveys are reviewed, about half of physicians are employed and half are owners or co-owners of private practices. Of those who are owners, one survey found that more than 70 percent would prefer not to sell their practice.
Despite this ongoing trend towards employment, many physicians believe this is going to turn around. And if the industry is going to manage costs and improve outcomes, more private practices may be needed. According to an article in the New York Times, the cost of providing care in the hospital setting is considerably more expensive than the care provided in the smaller practice setting.
One of the ways physicians are finding to stay independent is through the use of private pay, or membership, models. Recently, the American Academy of Private Physicians and Kareo conducted the largest industry survey on physician perspectives on practice models. It showed that about 24 percent of providers have already fully changed or incorporated in some way a concierge, direct pay or membership model in their practice and another 46 percent are considering a similar change in the coming three years.
This infographic highlights some of the other key discoveries made in this industry-first survey.