While the pandemic has remained the top story in healthcare over the past year, several other trends have been at play related to provider compensation.
Editor's Note: This article originally appeared on ECG's website.
Perhaps the most notable is the update to the Medicare Physician Fee Schedule (MPFS) in 2021. Organizations face several potential financial and operational ramifications, including having to:
- Update physician compensation structures.
- Evaluate professional services agreements.
- Review reimbursement via payer contracts and arrangements.
Beyond the changes to the MPFS, a few other trends within provider compensation have emerged over the last year, as outlined in the graphic below.
Two key takeaways from the updated benchmark data:
- There is a higher prevalence of value-based compensation than in years past. As value-based arrangements become more common, organizations are trying to keep pace by including a value component in their provider compensation plans.
- A continued increase in the employer cost of physician benefits is another notable finding. As costs for goods and services across the economy continue to broadly rise, the trend of increased organizational benefit costs is likely to continue. Click here to continue>>
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