By using this site, you agree to the Privacy Policy and Terms of Use.
Accept
Health Works CollectiveHealth Works CollectiveHealth Works Collective
  • Health
    • Mental Health
  • Policy and Law
    • Global Healthcare
    • Medical Ethics
  • Medical Innovations
  • News
  • Wellness
  • Tech
Search
© 2023 HealthWorks Collective. All Rights Reserved.
Reading: OIG Clears the Path for Physician Incentives
Share
Notification Show More
Font ResizerAa
Health Works CollectiveHealth Works Collective
Font ResizerAa
Search
Follow US
  • About
  • Contact
  • Privacy
© 2023 HealthWorks Collective. All Rights Reserved.
Health Works Collective > Business > OIG Clears the Path for Physician Incentives
Business

OIG Clears the Path for Physician Incentives

DavidEWilliams
DavidEWilliams
Share
3 Min Read
SHARE

For health care reform to succeed (and for the nation to achieve fiscal balance) hospitals must shift their focus away from maximizing volume and reimbursement to improving quality and reducing cost. But change like this is hard, especially when it necessitates changes in the behavior of specialist physicians.

For health care reform to succeed (and for the nation to achieve fiscal balance) hospitals must shift their focus away from maximizing volume and reimbursement to improving quality and reducing cost. But change like this is hard, especially when it necessitates changes in the behavior of specialist physicians.

That’s why I’m pleased that the Office of the Inspector General (OIG) has determined that a hospital is allowed to offer bonuses to a cardiology group for reducing costs, improving quality, and increasing employee and patient satisfaction. There’s always a risk that financial incentives may be used for undesirable or fraudulent purposes but to me the risks are worth it in order to get the systemic change that’s so needed. The more that hospitals and physicians feel free to experiment with different, creative approaches without the fear of being imprisoned or fined the better.

In this particular example the 60 percent of the bonus is for cost reduction, 30 percent for quality improvement, and 5 each for employee and patient satisfaction. In a perfect world I’d like to see more weight on patient satisfaction but I do worry that if the number were too high it might lead to trouble, e.g., waiving co-pays the way car dealers used to give out free oil changes to people who let them fill out their consumer satisfaction survey.

More Read

healthcare marketing
Beyond the Buzz: Does Your Healthcare Content Need a Call-To-Action?
What If Shared Decision Making Costs More?
Can We Take the Excitement out of the FDA? Agency Could be Turning a Corner
Recruiting for Clinical Trials Using Business Marketing Techniques
Bureaucrats vs. Entrepreneurs

In case anyone’s worried that OIG is getting soft, they did include some tough language in the opinion:

“Like any payment arrangement between a hospital and physicians who refer business to the hospital, payments purportedly intended to encourage quality improvements and cost savings might be misused by unscrupulous parties to induce limitations or reductions in care or to disguise kickbacks for federal healthcare program referrals.”

 

TAGGED:physician incentives
Share This Article
Facebook Copy Link Print
Share

Stay Connected

1.5KFollowersLike
4.5KFollowersFollow
2.8KFollowersPin
136KSubscribersSubscribe

Latest News

language barriers in healthcare
Language Barriers Are Most Underestimated Risk in Healthcare
Global Healthcare Policy & Law
March 29, 2026
nurse checking her schedule
Managing On-Call Lists for Healthcare Open Shifts
Health
March 26, 2026
outdoor yoga class in sunny park setting
Resveratrol Capsules VS Resveratrol Powder: Are There Differences?
Health
March 26, 2026
Clinical Trials Demystified: Yousuf A. Gaffar, M.D’s Guide to Research and Patient Impact
Clinical Trials Demystified: Yousuf A. Gaffar, M.D’s Guide to Research and Patient Impact
Health
March 25, 2026

You Might also Like

Physician Burnout: Healthcare’s Looming Crisis

April 26, 2016
Image
BusinessFinanceHospital AdministrationNewsPolicy & Law

The Double Edge Sword for Cost Report Reopening

March 19, 2013
Image
Business

Healthcare App ZocDoc Cracks A Top 100 List

September 19, 2013
Image
BusinessMedical DevicesOrthopaedicsTechnology

Growth of Worldwide Cervical Artificial Disc Market

August 10, 2011
Subscribe
Subscribe to our newsletter to get our newest articles instantly!
Follow US
© 2008-2025 HealthWorks Collective. All Rights Reserved.
  • About
  • Contact
  • Privacy
Welcome Back!

Sign in to your account

Username or Email Address
Password

Lost your password?