REPORT: Number of terms searched 105
Bucket Term Count
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This graph breaks down the average billing category revenue amounts by Quartile of Total Revenues for Family Physicians in Ohio for 2012. (This is not a “per provider” average, but an average revenue earned by providers providing that service in that category in that quartile.)
There are several interesting points:
I plan to refresh this analysis and look at average category revenues by quartile on a “per provider” basis.
This analysis was done in R & RStudio on an Ubuntu Linux platform using linked PostgreSQL to subset the 2012 Medicare Payments data by physician specialty and location. A pattern match selection using regular expressions was used to supercategorize the CPT codes into broader categories (Critical Care, Home Health, Hospital Inpatient, …).
ggplot2 was used to generate the graphics.
Thank you to the Coursera Johns Hopkins Data Science Specialization series, the R & RStudio as well as the PostgreSQL communities for their great open source tools and guidance.
In choosing a state in which to set up a practice, physicians should study tax and regulatory policy, writes third-year family medicine resident Philip Eskew, D.O., J.D., M.B.A. The winter issue of the Journal of American Physicians and Surgeons features Dr. Eskew’s article — “Which State Best Suits Your Medical Practice–an Analysis and Reference Guide,” — in which states are ranked in order of friendliness to independent practices.
Only South Dakota and Wyoming make the top tier. In the second tier are Idaho, Wisconsin, Indiana, North Dakota, Texas, and Alaska.
At the bottom, in tier 6, are Massachusetts and New Jersey. Tier 5 includes Connecticut, Rhode Island, the District of Columbia, Oregon, Maryland, New York, California, Ohio, and Illinois.
By quartile of total revenue and category of services. Same analysis as applied to Family Physicians. Internal Medicine physicians tend to perform a wider range of different types of services.
Service Intensity and Physician IncomeConclusions From Medicare’s Physician Data Release ONLINE FIRSTJAMA Intern Med. Published online December 08, 2014. doi:10.1001/jamainternmed.2014.6397
These data indicate that higher-earning physicians earn more not by treating more patients but by offering more services per beneficiary. The relationship between these additional services and any meaningful improvement in outcomes is undefined. Given the data on medical service utilization in the United States, it is likely that a substantial portion of these services is unrelated to improved outcomes. For each service offered by a physician in the bottom decile, 5 are offered by a physician in the upper decile. The 20th, 40th, 60th, and 80th deciles for the services to beneficiary ratios are 1.4, 2.2, 3.6, and 6.9 (demarcated as quintiles of services [dashed lines in the Figure]), respectively, highlighting tremendous overall variation in the number of services physicians offer each beneficiary. In Medicare’s fee-for-service system, some physicians are collecting large fees by ordering services munificently.
Part of the point is… that if you *aren’t* offering some of those procedures, maybe you should be. I have found from some of my analysis that higher Medicare revenue earning primary care docs tend to:
work hard (see lots of patients)
do nursing home care,
and do *home visits* which pay about twice as much as a nursing home visit
In an analysis of Ohio physicians, I did find one physician in Cleveland who billed for 5,420 home visits in 2012… I am assuming that this might be some sort of proxy billing through midlevels, because 5,420 home visits would come to over 20 some visits per day for a 48-50 week 5 day year, and that wouldn’t seem possible *unless* maybe the physician was billing for “home visits” in a nursing/retirement care setting.
Broken down by quartiles of total Medicare revenues (from the 2012 payments dataset), the top 25% of Family Physicians in Ohio received between $100k to $521k in payments.
The bottom 75% of Family Physicans recieved less than $100k in payments from Medicare.
Payment Range Number
[ 50.9, 32868) 9808
[32868.1, 58012) 9798
[58011.6, 99887) 9823
This payments dataset contains information identifying the healthcare provider (name, address, credentials, provider_type, Medicare Participation status) and detailed information about every Medicare procedure code payment connected to these providers (HCPCS code, number of services, number of unique beneficiaries serviced, and the payment charges submitted, average Medicare payments allowed and paid for each of these charges).
A physician or healthcare provider who bills Medicare for services can make use of this information to assess comparative patterns of coding and payments in his or her locality (zipcode area or city, for example) to focus on improving practice revenues.
Here are examples of sample reports:
CPT(*) or HCPCS procedural coding is how physicians and healthcare providers are paid. Up until about 2014, physicians and healthcare providers have had only limited access to information about coding and payments.
The release of the 9 million line Medicare Payments database in April of 2014 opens up this playing field and makes available information about submitted charges and Medicare payments for every physician and healthcare provider, broken down by CPT/HCPCS codes for the 2012 payments year.
Medical Coding Analytics uses advanced analytic methods to help physicians and healthcare providers to identify opportunities for increased revenue in their practices by giving them comparative and proprietary analytic information about coding and payments in their specialty and in their area.
Comparative Coding information includes:
“Knowledge is power. Information is liberating. Education is the premise of progress, in every society, in every family.”
— Kofi Annan
Please use the contact form below to request more information.