Study: Nearly half of U.S. physician practices are hospital- or corporation-owned

Hospitals and corporate entities acquired 20,900 U.S. physician practices over a two-year period beginning January 1, 2019, according to a study released by the Physicians Advocacy Institute. With those acquisitions, hospitals and corporate entities own 48.4% of physician practices.

During the two years studied, the overall number of physician practices that are hospital- or corporate-owned increased 21%. Acquisitions increased during the last six months studied (July 2020-January 2021), after the onset of COVID-19, when more than 11,000 practices were acquired.

During that same time, 48,400 physicians also left independent practice and became employees of hospitals or corporate entities, which represents a 12% increase in the percentage of employed physicians.

Of those physicians leaving independent practice, 22,700 did so after the onset of COVID-19. While physician employment grew throughout the two years studied, there was a 3.4% increase in the growth rate of hospital- or corporate-employed physicians during the last half of 2020, coinciding with the start of the pandemic.  

The study was conducted by Avalere for the Physicians Advocacy Institute.

Source: Physician Advocacy Institute