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Article in ABA’s The Health Lawyer Provides Guidance for Assessing Physician Compensation for Meeting Attendance
  • USA - English


News provided by

Pershing Yoakley & Associates

Sep 11, 2014, 03:00 ET

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PYA's Darcy Devine & Briana Gordon
PYA's Darcy Devine & Briana Gordon

Knoxville, TN (PRWEB) September 11, 2014 -- Hospitals seeking physician involvement and input often pay for providers’ participation on various committees and advisory boards. Ensuring fair market value compensation in these situations is an important concern for these healthcare organizations, as the arrangements can involve a significant amount of regulatory risk.

To avoid real and perceived compliance issues, hospitals need to make a strong case for paying for physician participation as well as substantiating that the compensation is FMV [fair market value] and serves a commercially reasonable business purpose.

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A recent article in the American Bar Association’s The Health Lawyer, “Paying Physicians for Attending Meetings – Assessment Tools & Recent Litigation,” delves into the challenges of paying physicians for these services. Authored by PYA Principal Darcy Devine and Consulting Manager Briana Gordon, the piece uses recent litigation to outline factors hospitals should consider when compensating physicians for meeting attendance.

According to the article, “To avoid real and perceived compliance issues, hospitals need to make a strong case for paying for physician participation as well as substantiating that the compensation is FMV [fair market value] and serves a commercially reasonable business purpose.” The article advises hospitals to develop an assessment tool that will help them evaluate whether paying physicians for their involvement in different meetings and on various committees and/or advisory boards is judicious.

PYA regularly provides fair market value and commercial reasonableness opinions and consulting advice related to compensating physicians for their clinical and administrative duties. Our valuation professionals also have extensive experience with physician-hospital integration strategies and physician compensation model design.

For over three decades, PYA has provided timely insight and strategic support, helping clients thrive in the midst of rapid change. PYA is ranked by Modern Healthcare as the nation’s twelfth largest privately held healthcare management consulting firm, serving clients in 48 states. For more information, visit http://www.pyapc.com/.

Ed Pershing, Pershing Yoakley & Associates, http://www.pyapc.com, +1 (800) 270-9629, [email protected]

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