Physician compensation is on the rise, which may not be all that surprising considering our nation has a rapidly increasing geriatric population and a physician shortage on the horizon, according to MedScape Specialty.
A recently released Merritt Hawkins survey found specialty pay was up nearly 14.3 percent across eight specialties, with non-invasive cardiology physicians and advanced nurse practitioners experiencing the highest increase in salary, with a 21 percent boost from last year.
Here are three takeaways on how competition is driving physician compensation:
1. Seniors comprise a large portion of overall health costs. Seniors often require specialties. The need for specialists will make specialists more valuable, thereby impacting physician compensation.
2. Academic centers are increasingly providing patient care. Many academic centers, especially those in inner cities, have set up extensive provider networks to provide care to residents. To accommodate patient demand, academic centers are hiring more physicians and bolstering physician training programs.
3. Small and solo practices are actively recruiting physicians. The survey found small practices accounted for 5 percent of physician services, up from 1 percent in 2014. Small practices employing a direct or concierge economic model are hiring more physicians.
More healthcare news:
Tucker Carlson on how the nation arrived at a Trump vs. Clinton showdown
Maryland co-op sues government over $22M+ potential fees: 5 points
North Carolina senator brings state CON law back into the spotlight: 6 key points