AMGA: Most Medical Practices Operating at a Loss

A recent study by the American Medical Group Association found most medical groups across the country are operating at a loss.

According to findings in AGMA's 2011 Medical Group Compensation and Financial Survey, the only region where medical groups neared break even (-$27 per physician) was in the Western region.

The Northern region suffered a $10,669 loss per physician on average. Practices in the Southern region lost $1,870 on average, and practices in the Eastern region averaged a loss of $1,597 per physician. 

According to Donald W. Fisher, PhD, CAE, president of the AGMA, many of these practices are able to remain viable by supplementing practice losses with non-clinical revenue sources or funding from associated health systems.

Read the AMGA release on medical group finances.

Related Articles From AMGA:

5 Medical Specialties With the Highest Median Compensation Increase from 2010-2011
5 Concerns With Proposed Rules for ACOs From AMGA

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