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Related Experiment Videos

Paying physicians in advanced managed care markets.

P R Berger1

  • 1William M. Mercer's Provider Consulting Practice, Atlanta, GA, USA.

Physician Executive
|February 6, 1997
PubMed
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Physician compensation models have shifted from simple price reductions to complex variable pay formulas. Future physician payment should incorporate productivity and quality of life metrics.

Area of Science:

  • Healthcare economics
  • Medical practice management

Background:

  • Physician compensation in managed care has evolved significantly over the past decade.
  • Initial focus on unit price reduction has been superseded by variable pay structures.

Purpose of the Study:

  • To analyze the changing landscape of physician compensation in managed care.
  • To identify key criteria influencing current variable pay formulas.
  • To propose future modifications for physician payment models.

Main Methods:

  • Review of trends in physician compensation strategies.
  • Analysis of factors influencing variable pay for primary care physicians and specialists.
  • Examination of current performance metrics.

Main Results:

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  • Managed care compensation has moved beyond simple cost-cutting to incorporate multifaceted pay formulas.
  • Key determinants of variable physician pay include member access, patient satisfaction, and economic performance.
  • Emerging trends suggest a need for broader performance indicators.

Conclusions:

  • Current physician payment models in managed care are complex and varied.
  • Future physician compensation should integrate measures of productivity and physician quality of life.
  • Adapting payment models is crucial for physician well-being and practice sustainability.