Independent physicians face difficult challenges in today’s medical profession: they want to maintain the benefits of independence, such as financial upside and management autonomy, but recent changes, such as the shift toward value-based care, are making independence increasingly difficult to sustain. Ultimately, your financial goals and personal preferences will determine the best solution for you and your practice.
This whitepaper explores three medical practice models to consider, and what they would mean for your career:
The traditional model consists of practices that are owned by physicians or other clinicians. The practice operates as an independent entity and seeks to benefit its owners in a for-profit fashion. Business decisions, such as hours of operation and participation in insurance plans, are made directly by the shareholders, an administrator, or a combination of the two.
Independent physicians often seek to be acquired by or affiliated with a hospital system to overcome the financial and operational challenges experienced by practices using the traditional model. However, becoming an employee of a hospital can be an eye-opening experience for physicians who are used to being independent.
Professional partnerships can take the form of Independent Practice Associations (IPAs) or super groups, also known as Management Services Organizations (MSOs). These partnerships can deliver the benefits of a broader support organization without compromising physicians’ ownership and management autonomy.