4 Reasons Why it’s Easier Than Ever to Move Procedures In-Office.
Reason #4: REIMBURSEMENT
Physicians Are Always Looking for Innovative Ways To Improve Their Bottom Line. Moving Procedures to Physician Offices Is A Great Way to Start
The site of service transformation began in 1970 when two physicians joined forces to open the first ambulatory surgery center (ASC). The ASC model was created to establish a high-quality, lower-cost alternative to inpatient hospital care for surgical services.
With an estimated *9,280 surgery centers in the United States, this lower-cost site of service has seen much success over the years. Patients, physicians, and health insurers have all benefited greatly from this cost-effective and patient-centric ASC model. Today, the healthcare industry is experiencing another site of service transformation as insurance companies and physicians look for innovative ways to improve their bottom lines. Witnessing advancements in technology and medicine, insurance carriers realized that certain procedures were still excessive at a surgery center and that additional savings and greater patient satisfaction could be achieved by moving these procedures to physician’s offices.
To further incentivize physicians to move routine procedures such as lithotripsy, colonoscopy, or balloon sinuplasty away from hospitals and ASCs into physician’s offices, insurance carriers created the Site of Service Differential or Global Fee. This reimbursement model presents a unique revenue stream for physicians, especially for individuals in private practice where their sustainability and livelihood rests on what they can produce themselves. It also presents an opportunity for physicians with office-based surgical practices to separate themselves from the competition by providing a less stressful environment and lower patient cost alternative to hospitals and surgery centers.
Beyond the obvious financial incentives of doing in-office procedures, physicians enjoy greater control over their schedules as scheduling delays and a limited number of operating rooms are no longer an issue. The result is a more efficient, streamlined calendar with no additional travel required. Physicians feel an added sense of independence when they have more control over how their time is spent and are empowered to make decisions in the best interest of their patients.
Time is more valuable than any other resource today and this is no different for physicians. The office setting provides the most effective and productive environment in terms of ROI (return on investment) especially with adding office-based procedures to the mix. Moving procedures out of a hospital or ASC environment and into their office means that Doctors are investing in themselves and optimizing their time, which is essential to maintaining a long-term positive revenue stream and work-life balance.
*Definitive Healthcare 2019