What's Happening?
A recent study published in Health Affairs reveals significant growth in concierge and direct primary care practices in the U.S. from 2018 to 2023. These models, which offer more personalized care with
smaller patient panels, have seen an 83% increase in practices and a 78% rise in participating clinicians. The study also notes a dramatic shift in ownership, with independently owned practices dropping from 84% to 60%, while corporate-affiliated practices surged by 576%. This shift is attributed to dissatisfaction with traditional primary care models, which are burdened by administrative tasks, complex patient needs, and low reimbursement rates. The study highlights that these newer models provide clinicians with more autonomy and reduced administrative burdens, attracting those burnt out by traditional settings.
Why It's Important?
The growth of concierge and direct primary care models reflects a significant shift in the U.S. healthcare landscape, potentially impacting access to care and the healthcare workforce. As traditional primary care faces a projected shortage of up to 86,000 doctors by 2036, these models offer an alternative that could alleviate some of the strain. However, the rise in corporate ownership may alter the original intent of preserving independent practice, potentially affecting the elements that attract clinicians to these models. This trend could influence healthcare policy, as evidenced by President Trump's One Big Beautiful Bill Act, which includes provisions to expand the use of Health Savings Accounts (HSAs) for direct primary care.
What's Next?
As these models continue to expand, further evidence is needed to inform policies and regulations. Some states have already enacted laws to regulate direct primary care models, and ongoing research will be crucial in shaping future healthcare policies. The study suggests that the continued growth of these models could lead to more widespread adoption, potentially influencing the broader healthcare system. Stakeholders, including policymakers and healthcare providers, will need to consider the implications of increased corporate ownership and its impact on the quality and accessibility of care.
