In response to the dramatic changes in the delivery of health care, both small practices and large networks are searching for cost-effective options to simultaneously maintain or increase profitability, afford a reasonable lifestyle for physicians and maintain the quality of care they deliver to their patients. PEs have been involved in the delivery of health care for years. Until recently, physician practices generally have found few solid economic reasons to hire PEs. However, concern over the shortage of primary care physicians in underserved areas and the emphasis on cost control in managed care has focused and intensified industry, academic and third party payors' attention to the roles of PEs in both private medical practices and managed care settings. Economic Rationales A review of the developing literature and statistics in this area offers sound economic rationales for incorporating PEs into many medical practices.
PEs can be cost-effective in both private practice and managed care settings.
PEs can also actually increase physician productivity in some instances. A recent AMA Center for Health Policy Research study reported that solo physicians who employ non-physician providers see more patients per hour, per week and per year and report higher net incomes than those who do not. Patients are generally pleased with the quality of care delivered by PEs. For example, in January 1996, MGMA published the results of an information exchange survey regarding PAs which showed that 429 out of 663 practices surveyed employed PAs and that a higher percentage were satisfied with their performance. Some PEs can be utilized efficiently and effectively in both primary care and specialty practices.