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Are Quality Bonuses Right for Your Medical Directors?

Financial incentives are just one way to connect goals and outcomes

Greg Anderson
Thu, 02/11/2016 - 10:51
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A s the market gradually moves toward value-based reimbursement, hospital payments to physicians have also been in transition from purely productivity-based pay to incentives based in part on quality, patient experience, and efficiency of care. This shift has taken place in employment, professional service agreements, alternate delivery models, and clinical co-management arrangements, among others. Also included in this list are administrative service positions, such as medical directorships.

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The “Medical Director and Physician Executive Survey: 2014 Report” by Integrated Healthcare Strategies (IHS) indicates that 43 percent of the reporting organizations offered a medical director performance bonus, an increase from 38.2 percent reported in the prior year’s survey. Among the respondents that were not then offering such a bonus, 13.2 percent planned to add a performance bonus for medical directors.

Among the respondents to the IHS survey offering a medical director performance bonus, the following table summarizes by specialty the percent of compensation available for performance bonus:

 …

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