For physicians fed up with jumping through hoops for third-party payers, a sustainable direct primary care practice may be worth the hard work it takes to set up, writes Robert Lamberts, M.D., in Physicians Practice.
If you consider the elements of modern medical practice that frustrate doctors the most, such as the Affordable Care Act and the Medicare Access and CHIP Reauthorization Act, the common thread tends to be third-party payers whose demands get in the way of the doctor-patient relationship. Direct primary care practices allow physicians to bypass those payers altogether by charging patients membership fees for a set of basic healthcare services. Such practices continue to become more popular, according to an article published by The Heartland Institute.
Since he switched his own practice, Lamberts reports better quality of life under the model, combined with better care provision, well-satisfied patients and high morale among his medical staff. He admits, however, that these benefits don’t come without significant risks and challenges. He offers some advice for physicians ready to take the plunge:
- Ensure everybody buys into the model. The transition to direct primary care can be rocky, says Lamberts, so both physicians and medical staff will need to keep their eyes on the prize, namely high-quality patient-centered care. He also points out that revenues in this model depend heavily on patient satisfaction and retention, so medical staff have a greater role to play in generating income for the practice.
- Find a happy medium for pricing. High prices can spell doom for the growth of a practice, says Lamberts. “In a subscription model, the ideal customer is one who has low demand and high satisfaction with the product you offer,” he says. He also points out it’s far easier to raise prices that are too low than recover from the consequences of prices that are too high.
- read the Physicians Practice story
- here’s the Heartland Institute article