Real Physician Revenue Down 33.6% Since 2016 Due To Medicare & Medicare Advantage Reimbursement Trends & Inflation

Medicare and Medicare Advantage physician reimbursement trends have combined with inflation since 2016 to result in a 33.6% decline in real physician revenue for treating those beneficiaries, according to a recent analysis. Factors cited that affect the nearly decade-long decline in real physician revenue include only a 10% cumulative decrease in traditional Medicare reimbursement rates since 2016, Medicare Advantage reimbursement rates that are 10% to 15% lower than Traditional Medicare rates, and a 30% cumulative cost increase for staff salaries, rent, medical supplies, and technology due to inflation.

Physician revenue is also affected when commercial insurers use Medicare . . .