Dive Brief:
- Oncologists say the reason they are being forced to sell or close their practices is because insurers have severely reduced payments to them and because the drugs they buy and sell to patients are now so expensive.
- But when a doctor is affiliated with a hospital, patients end up paying an average $134 more per dose out of pocket for the most commonly-used cancer drugs, according to a report by IMS Health, a healthcare information company. And many cancer patients receive multiple drugs.
- Reporting on the nation's 1,447 independent oncology practices, the Community Oncology Alliance, an advocacy group for independent practices, said that since 2008, 544 were purchased by or entered contractual relationships with hospitals, another 313 closed and 395 reported they were in tough financial straits. In western Washington, just one independent oncology group is left.
Dive Insight:
The cannibalization of private-practice physicians continues, and patients are paying the price. The irony in this situation is that healthcare is supposed to become easier on the pocketbook.
Christian Downs, executive director of the Association of Community Cancer Centers, told The New York Times that although there are no good data yet, he expected the Affordable Care Act was accelerating the trend: Many people bought inadequate insurance for the expensive cancer care they require. Also, because community doctors have to buy the drugs ahead of time, the burden is on them when patients cannot pay.