1 in 5 medical practices saw a 50% revenue drop in 2020

Statistic Info

Medical practices have seen a nearly one-third drop in their average revenue this year, according to a new survey from the American Medical Association (AMA).

“Physician practices continue to be under significant financial stress due to reductions in patient volume and revenue, in addition to higher expenses for supplies that are scarce for some physicians,” said AMA President Susan R. Bailey, M.D. in a statement.

“More economic relief is needed now from Congress as some medical practices contemplate the brink of viability, particularly smaller practices that are facing a difficult road to recovery.”

Author: Fierce Healthcare

More Related Stats

Covid-19

The CDC is on high alert for signs of an aggressive flu season in the U.S.

Pharmacies have administered 258 million doses of the authorized COVID-19 vaccine

Older adults who received that second booster of the Pfizer vaccine have a 78% lower mortality rate than those who only had one booster

To date, 32 unique CPT codes have been created for COVID-19 vaccines

As of Feb. 2021, telehealth visits grew 38x in claims volume

1 in 5 medical practices saw a 50% revenue drop in 2020

Physician Practices

Coding Drives Up Medical Billing Costs in the US

1 in 5 adults say they or a family member have received an unexpected medical bill in 2022

90% of medical practices shared that costs have risen faster than revenues in 2022

20% of households in the United States have medical debt

Americans owe at least $195 billion in medical debt

75% of patients utilize either healthcare provider or payer/insurance websites

HIPAA compliance is not enough to protect patient records

1 in 5 Medicare beneficiaries spend 1/2 or more than 1/2 of their monthly incomes on healthcare expenses

Paid medical collection debt will no longer be included on consumer credit reports

Companies using incentive programs reported a 79% success rate

Revenue Management

Healthcare spending for all causes increased by $1.4 trillion

A denial rate of over 10% is a clear warning sign and a call to action

1 in 5 Medicare beneficiaries spend 1/2 or more than 1/2 of their monthly incomes on healthcare expenses

Paid medical collection debt will no longer be included on consumer credit reports

The slowly increasing claim denial rate stood at 23% in 2020

Companies using incentive programs reported a 79% success rate

1 in 5 medical practices saw a 50% revenue drop in 2020

81% of physicians had lower revenue than pre-pandemic