Physician Services Agreement
If your practice, health care system or company want to know more about Coker`s work in guidance strategy or physician nators, please contact us here. It is important to note that PPE and CAMS are far from the only way independent practitioners can work with hospitals or health systems. Membership in Managed Care Networks or ACOs (no longer unicorns!), the implementation of call coverage or medical management agreements, and the creation or use of Services De Management Organizations (MSOs) are additional strategies to consider for providers who wish to align but wish to remain independent. The acquisition will not necessarily be slowed down or less relevant in the health sector, but it is important for those who wish to expand their network of suppliers or expand the scope of their practice to be aware of orientation options outside the acquisition, especially those who may be discouraged by some of their most negative factors.  Physicians` Lawyer Institute. Updated study on the study of doctors 2012-2018: national and regional changes in the employment of doctors. February www.physiciansadvocacyinstitute.org/Portals/0/assets/docs/021919-Avalere-PAI-Physician-Employment-Trends-Study-2018-Update.pdf?ver=2019-02-19-162735-117, 2019. Hospitals or practices that want to align, but think that PPE are a little too close for comfort, might view clinical co-management agreements (CCA) as a more moderate and attractive strategy. Unlike PSAs, CCMAs` guidance mechanisms do not include professional services contracts or the management of practical support structures. CCMAs generally focus on collaborative cooperation between different providers and hospital management to achieve a predefined set of performance results for a service line.
We see these agreements as a potential win-win situation for both parties in order to achieve common goals, often related to quality and the shift of volumes towards value. The CCMAs continue to mitigate the financial investments demanded by the hospital and limit any autonomy lost by independent providers. While there are several structures for setting up a CCMA, all of these agreements will include royalties for the management services provided, as well as a number of measurable results for the CCMA unit to monitor and achieve them. Royalties often include a base rate, usually paid hourly and assessed on the basis of a calculation of the VMF for the administrative services of this specialty, as well as an incentive rate for exceeding the results of the agreement. Below are descriptions of the different ccma structures. More information on the training, execution and benefits of CCMAs can be found in our white paper on the subject. We assume that health care professionals who read this article are unlikely to need further study of the benefits of the acquisition or the factors that drive private equity systems and companies to purchase practices. Instead, we want to use this Coker connection to highlight some of the off-use options that practices and systems can use to achieve better results. There are signals in the market that independent practices are not decreasing as much as the above articles suggest. It was only last October, at the mgMA 2018 annual conference, that a group of doctors shared some of the unintended consequences – increased costs, withdrawal of doctors, flat or declining results – of this flow of acquisitions, predicting that independent practices could return in the near future.  So whether our readers come from large systems, private equity firms or private firms, we hope that this piece will serve as a productive reminder that employment is not the only option to track the alignment between doctors and hospitals or health systems.