Facts & Resources

Policy Brief

Avalere: Medicare Service Use and Expenditures Across Physician Practice Affiliation Models

National trends in physician practice affiliation over the last decade show movement away from unaffiliated private practice toward models in which physicians align with a larger entity that can offer administrative and financial support. In addition to health system or corporate models, physicians may choose to align with an administrative organization, often referred to as a management services organization (MSO). MSOs vary considerably in the services they offer and often have financial capitalization, either from large groups of physicians, insurers, private equity (PE) sponsors, or other entities, such as retailers and distributors. Stakeholders demonstrate a high level of interest in the impact that the continued shift away from unaffiliated private practice has on the healthcare system—particularly the cost, utilization, and quality of healthcare services associated with these trends.

Innovation

Private equity investment in healthcare is making a positive impact…especially for doctors – Fierce Healthcare

The last 10 years have been a time of tremendous change in U.S. healthcare. One of the key drivers of this change has been growing investment from private equity into both larger healthcare companies and, more recently, into specialty medical practices. Although this activity is reported on and sometimes scrutinized, less often is any focus given to the positive impact that this inflow of capital has had, both for doctors and patients.

Research

Medicare spending drops, patients benefit when physicians work with private equity management, study says – Medical Economics

Physicians working with private equity investors may help patients and save money when compared with those affiliated with hospital and corporate ownership, according to a new study. The American Independent Medical Practice Association (AIMPA) commissioned the examination of doctors across four physician practice models in five specialties: cardiology, gastroenterology, medical oncology, orthopedics and urology.