Setting Up Compensation Structure for Hospital Contracts

When you establish a contract with a hospital system, you can choose a variety of mechanisms for compensation. Here are your options: Flat fee plus incentive With this structure, you charge a hospital a flat fee for providing services and incentives for building the program. The flat fee should cover all your direct costs, while considering a per-visit or per-unit charge. This provides an incentive to grow outpatient volume. Direct costs plus management fee In this structure, the … [Read more...]

Hospital Contracting: Structuring the Deal

Once you’ve gone through the process of becoming the installation manager of a hospital’s outpatient physical therapy program, you’ll need to structure the deal. You have two choices. You can propose a joint venture with the hospital or become an independent contractor. The legalities of a joint venture can be cumbersome and cause major delays in initiating the program. So I would recommend developing a program as an independent contractor. Hospitals are usually comfortable with … [Read more...]

How to Contract with Hospitals for Physical Therapy Services

In most states, hospital reimbursements are more favorable than those for outpatient therapy and are not under the Medicare Cap. This dynamic makes the time perfect for joining forces with hospitals as an option for growth. Hospital contracting is a growth strategy that could yield high profitability along with the added benefit of spending more time with your referring physicians. Hospitals usually have difficulties developing out-patient therapy clinics because they aren’t familiar with the … [Read more...]

Physical Therapy Marketing- Breaking Down Barriers

Physical therapy marketing reps tell us all the time that they can’t get past the physician’s front office staff. I say use the Donald Trump strategy. If Donald Trump walked in and asked to see the doctor, would he get in? Of course he would! I admit the job of what we call a Physician Liaison can be tough. Here are a few strategies that can help. Timing of Visit If you always go to a physician’s office on Tuesdays at 2 PM and there are always 100 patients in the waiting room, you’re … [Read more...]