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Medical Economics : Top 6 practice management challenges facing physicians in 2015

Some physicians are returning to private practice because their compensation from hospitals became less attractive after the expiration of their initial contract, says Divan Dave, chief executive officer of OmniMD. During an initial “honeymoon period,” he says, their pay was based on the previous three years of tax returns. However, after the contracts were up, the hospitals switched to performance-based pay, which ended up being lower.

Omni is helping three physicians, including Rajdeo, return to independent practice after being employed by hospital systems. “They got so upset at the hospital they are now converting their private practices back,” Dave says. “One of the doctors said, `I didn’t go to medical school to work for someone. I went to be independent.’ ”

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