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  Docs Spend About $31B Haggling with Insurers Annually
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ContributorRP 
Last EditedRP  Jun 23, 2009 04:01pm
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AuthorJohn Commins
News DateThursday, May 14, 2009 10:00:00 PM UTC0:0
DescriptionPhysicians spend three hours per week–43 minutes on average per workday–haggling over claims, credentialing, authorizations, formularies, and other issues with health insurance plans, according to a study released today in Health Affairs.

The Costs to Physician Practices of Interactions with Health Insurance Plans found that total staff interaction time systemwide converted to dollars equaled $21-$31 billion annually–an average of more than $68,000 per physician per year.

"These data are yet another indicator of the dire need to streamline healthcare administration for physician practices," says William F. Jessee, MD, president and CEO of Medical Group Management Association, which sponsored the study.

The study found that primary care physicians spend more time dealing with health plans than specialists. Nursing staff spend nearly four hours per physician per day interacting with plans; and clerical staff average 7.2 hours per day. Solo practitioners and their staffs spend up to 50% more time interacting with health plans than physicians in larger practices. Non-physicians' staff time did not vary significantly by specialty.
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