Report: Cardiologists battle rising fees of group practices
Cardiology physician group practices are battling rising costs, according to a Medical Group Management Association (MGMA) report.
The median total medical revenue flattened in cardiology practices from 2005 to 2006, the survey report shows. The $8,126 decline in total medical revenue per full-time-equivalent (FTE) physician represented a 72 percent change.
The change also represented a divergence from the previous two years, which averaged a 4.7 percent annual increase, according to the report.
The survey also indicated that while revenues declined in cardiology groups, operating costs increased 3 percent – from a median of $522,303 per FTE physician in 2005 to $538,135 in 2006.
The combination of decreased revenue and increased cost reflect an increase in practice overhead, with median total operating cost as a percentage of revenue increasing 12.2 percent since 2000, the survey concluded.
MGMA said its 21,000 members manage almost 270,000 physicians practice.
The median total medical revenue flattened in cardiology practices from 2005 to 2006, the survey report shows. The $8,126 decline in total medical revenue per full-time-equivalent (FTE) physician represented a 72 percent change.
The change also represented a divergence from the previous two years, which averaged a 4.7 percent annual increase, according to the report.
The survey also indicated that while revenues declined in cardiology groups, operating costs increased 3 percent – from a median of $522,303 per FTE physician in 2005 to $538,135 in 2006.
The combination of decreased revenue and increased cost reflect an increase in practice overhead, with median total operating cost as a percentage of revenue increasing 12.2 percent since 2000, the survey concluded.
MGMA said its 21,000 members manage almost 270,000 physicians practice.