Skip to content
  • About
  • Contact
  • Contribute
  • Book
  • Careers
  • Podcast
  • Recommended
  • Speaking
  • All
  • Physician
  • Practice
  • Policy
  • Finance
  • Conditions
  • .edu
  • Patient
  • Meds
  • Tech
  • Social
  • Video
    • All
    • Physician
    • Practice
    • Policy
    • Finance
    • Conditions
    • .edu
    • Patient
    • Meds
    • Tech
    • Social
    • Video
    • About
    • Contact
    • Contribute
    • Book
    • Careers
    • Podcast
    • Recommended
    • Speaking

Do rural provider bonus payments do more good than harm?

Peter Ubel, MD
Policy
April 9, 2014
Share
Tweet
Share

If you live in the rural U.S., you probably face relatively limited access to the wonders of American health care.  There won’t be as many physicians per capita offering you their services.  This paucity of health care professionals will be especially stark for subspecialty care.  There are not many ENT specialists opening up shops in rural Texas when they can find jobs in Houston or San Antonio.

This undersupply of physicians has long caused medical experts to fret that rural patients receive too little medical care.  As a team of researchers pointed out in a recent article in Health Affairs, Medicare has responded by providing a financial incentive to rural health care providers, boosting their payment to encourage physicians to locate in such areas: “In the aggregate, Medicare pays rural providers $3 billion more each year in special payments than those providers would receive under traditional payment rates.”

These researchers are skeptical that such payments are working as intended.  They analyzed health care use across the U.S. to see whether, all else equal, rural patients receive fewer Medicare services than their urban peers.  Their results raise serious questions about the idea that such patients are underserved:

rural_form-j_new

On average, rural patients received just as much care as urban ones.  This similarity in use could signal that the Medicare payment incentives are working as intended.  But across regions of the country, the researchers found some locations receiving much more medical care than others, and some receiving less.  And the distinction between rural and urban didn’t have any power to predict whether patients received more or less than the average amount of care.  The researchers concluded that: “Medicare should not use rural location as a proxy for low service use or lack of access to care.”

I’m not confident that there is a workable way to fix the problem of getting all Americans equal access to specialty care.  I’m also not convinced that this study proves that current reimbursement schemes are too generous to rural health care providers.  I would like to think that, someday, we will have sophisticated measures of health care quality and appropriateness, measures that will allow us to pay providers handsomely for providing the right care, of the right quality, to the right patients.  In the meantime, we will be forced to make imperfect reimbursement decisions.

My question to you readers: Do you think the current rural provider bonus payments do more good than harm?

Peter Ubel is a physician and behavioral scientist who blogs at his self-titled site, Peter Ubel and can be reached on Twitter @PeterUbel.  He is the author of Critical Decisions: How You and Your Doctor Can Make the Right Medical Choices Together. This article originally appeared in Forbes.

Prev

What health care can learn from Katz's Delicatessen

April 9, 2014 Kevin 30
…
Next

Do patients care about how much money their doctors make?

April 9, 2014 Kevin 28
…

Tagged as: Medicare, Primary Care

Post navigation

< Previous Post
What health care can learn from Katz's Delicatessen
Next Post >
Do patients care about how much money their doctors make?

ADVERTISEMENT

More by Peter Ubel, MD

  • Clinicians shouldn’t be punished for taking care of needy populations

    Peter Ubel, MD
  • Patients alone cannot combat high health care prices

    Peter Ubel, MD
  • Is the FDA too slow to handle the pandemic?

    Peter Ubel, MD

More in Policy

  • Why PBM transparency rules aren’t enough to lower drug prices

    Armin Pazooki
  • Emergency department metrics vs. reality: Why the numbers lie

    Marilyn McCullum, RN
  • Black women’s health resilience: the hidden cost of “pushing through”

    Latesha K. Harris, PhD, RN
  • FDA loosens AI oversight: What clinicians need to know about the 2026 guidance

    Arthur Lazarus, MD, MBA
  • Why the U.S. health care system is failing patients and physicians

    John C. Hagan III, MD
  • Putting health back into insurance: the case for tobacco cessation

    Edward Anselm, MD
  • Most Popular

  • Past Week

    • Alex Pretti: a physician’s open letter defending his legacy

      Mousson Berrouet, DO | Physician
    • The elephant in the room: Why physician burnout is a relationship problem

      Tomi Mitchell, MD | Physician
    • ADHD and cannabis use: Navigating the diagnostic challenge

      Farid Sabet-Sharghi, MD | Conditions
    • Leading with love: a physician’s guide to clarity and compassion

      Jessie Mahoney, MD | Physician
    • AI and moral development: How algorithms shape human character

      Timothy Lesaca, MD | Physician
    • The poet who changed my DNA

      Ryan McCarthy, MD | Physician
  • Past 6 Months

    • Physician on-call compensation: the unpaid labor driving burnout

      Corinne Sundar Rao, MD | Physician
    • How environmental justice and health disparities connect to climate change

      Kaitlynn Esemaya, Alexis Thompson, Annique McLune, and Anamaria Ancheta | Policy
    • Will AI replace primary care physicians?

      P. Dileep Kumar, MD, MBA | Tech
    • A physician father on the Dobbs decision and reproductive rights

      Travis Walker, MD, MPH | Physician
    • What is the minority tax in medicine?

      Tharini Nagarkar and Maranda C. Ward, EdD, MPH | Education
    • Why the U.S. health care system is failing patients and physicians

      John C. Hagan III, MD | Policy
  • Recent Posts

    • The poet who changed my DNA

      Ryan McCarthy, MD | Physician
    • World Health Organization reframes fertility care as a fundamental right [PODCAST]

      The Podcast by KevinMD | Podcast
    • How personal experience shapes perimenopause and menopause care

      Hoag Memorial Hospital Presbyterian | Conditions
    • Pediatric care barriers in West Africa: a clinician’s perspective

      Maureen Oluwaseun Adeboye | Education
    • Anne-Sophie Mutter, John Williams, and the art of aging

      Gerald Kuo | Conditions
    • Why the real flex in life is freedom of time and self

      Preyasha Tuladhar, MD | Physician

Subscribe to KevinMD and never miss a story!

Get free updates delivered free to your inbox.


Find jobs at
Careers by KevinMD.com

Search thousands of physician, PA, NP, and CRNA jobs now.

Learn more

View 16 Comments >

Founded in 2004 by Kevin Pho, MD, KevinMD.com is the web’s leading platform where physicians, advanced practitioners, nurses, medical students, and patients share their insight and tell their stories.

Social

  • Like on Facebook
  • Follow on Twitter
  • Connect on Linkedin
  • Subscribe on Youtube
  • Instagram

ADVERTISEMENT

ADVERTISEMENT

  • Most Popular

  • Past Week

    • Alex Pretti: a physician’s open letter defending his legacy

      Mousson Berrouet, DO | Physician
    • The elephant in the room: Why physician burnout is a relationship problem

      Tomi Mitchell, MD | Physician
    • ADHD and cannabis use: Navigating the diagnostic challenge

      Farid Sabet-Sharghi, MD | Conditions
    • Leading with love: a physician’s guide to clarity and compassion

      Jessie Mahoney, MD | Physician
    • AI and moral development: How algorithms shape human character

      Timothy Lesaca, MD | Physician
    • The poet who changed my DNA

      Ryan McCarthy, MD | Physician
  • Past 6 Months

    • Physician on-call compensation: the unpaid labor driving burnout

      Corinne Sundar Rao, MD | Physician
    • How environmental justice and health disparities connect to climate change

      Kaitlynn Esemaya, Alexis Thompson, Annique McLune, and Anamaria Ancheta | Policy
    • Will AI replace primary care physicians?

      P. Dileep Kumar, MD, MBA | Tech
    • A physician father on the Dobbs decision and reproductive rights

      Travis Walker, MD, MPH | Physician
    • What is the minority tax in medicine?

      Tharini Nagarkar and Maranda C. Ward, EdD, MPH | Education
    • Why the U.S. health care system is failing patients and physicians

      John C. Hagan III, MD | Policy
  • Recent Posts

    • The poet who changed my DNA

      Ryan McCarthy, MD | Physician
    • World Health Organization reframes fertility care as a fundamental right [PODCAST]

      The Podcast by KevinMD | Podcast
    • How personal experience shapes perimenopause and menopause care

      Hoag Memorial Hospital Presbyterian | Conditions
    • Pediatric care barriers in West Africa: a clinician’s perspective

      Maureen Oluwaseun Adeboye | Education
    • Anne-Sophie Mutter, John Williams, and the art of aging

      Gerald Kuo | Conditions
    • Why the real flex in life is freedom of time and self

      Preyasha Tuladhar, MD | Physician

MedPage Today Professional

An Everyday Health Property Medpage Today
  • Terms of Use | Disclaimer
  • Privacy Policy
  • DMCA Policy
All Content © KevinMD, LLC
Site by Outthink Group

Do rural provider bonus payments do more good than harm?
16 comments

Comments are moderated before they are published. Please read the comment policy.

Loading Comments...