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Show Media ItemShow Media Item - Survival of the independent medical practice
Survival of the independent medical practice
Tuesday, November 10, 2009

From the beginning, ALN has been committed to helping physicians stay in control of their destiny.  Never before has this issue been more important.  Click here to read why we think independent physicians are so critical to our nation's healthcare system. 

This blog will be devoted to discussing the things that threaten the survival of independent, physician-owned, physician-run practices.  We'll also talk about what can be done, what is being done, by practices to manage their way through these tumultuous times. 

There are many predicting the demise, if not extinction, of the small physician practice.  Hospital systems are back acquiring practices or employing physicians at an intense rate.  This time around, both primary care and specialists are getting into the act.  New graduates seem to prefer large corporate employers over the small private practice.  Solo practices, in particular, are feeling the pinch.  The growing pressure for physicians to adopt new technology, be it an actual government mandate or a seemingly inevitable force to move forward, adds another cash pressure on the independent practice.  Some payers are even questioning whether they should contract at all with one and two doc practices.

And then there is whatever comes out of Washington.

Can the independent practice survive? 

The political situation is a legitimate wildcard, but those of us who have been around awhile know these trends ebb and flow.  I spoke at a conference in 1993 that was focused on how hospitals should go about acquiring physician practices.  Much to the chagrin of the conference organizer, I joked that we'd all be back in ten years for the conference on how hospitals could unwind those deals.  Turns out I was off by five years.  The trend did not last half a decade. 

And here we are again.

Is it different this time?  Are there really systemic changes afoot that render the autonomous physician obsolete?  Or is this another turning of the waves that will naturally reverse course in a few years?  And in the meantime, what should physicians do about it?

Those are the questions that we'll try to tackle.  We look forward to you joining the dialogue.

Tim

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