Accepting Medicare is becoming increasingly unsustainable for doctors, resulting in many clinics refusing new Medicare patients or even closing their doors. At the same time, millions of additional Americans are expected to rely on Medicare in the coming years. With a 3.37% reduction in Medicare imposed earlier this year, the American Medical Association (AMA) says reforms are needed to protect millions of Americans’ access to their doctors.
“After three consecutive years of Medicare cuts, doctors and patients are at a crossroads. Doctors have faced reductions in Medicare payments in each of the last four years, along with sharply rising costs for practices and the burdens of nearly four years of COVID-19. Continuing down this path is unsustainable for many doctors, particularly those in smaller private practices,” says Jesse M. Ehrenfeld, MD, MPH, president of the AMA.
An AMA analysis of Medicare Trustees data reveals that payments to Medicare doctors have increased by only 0.4% per year between 2001 and 2023. Meanwhile, the cost of running a medical practice—including office rent, staff salaries, and insurance premiums—has risen by 47% during the same period. Today, doctors are the only Medicare providers who do not receive an annual inflation update, making it difficult for them to adequately pay staff, purchase new equipment, and invest in their practices.
Struggling medical practices across the country have already been forced to make tough decisions such as refusing Medicare, merging their practices into larger companies, and even shutting down completely. As a result, some Medicare patients—like Dr. Ehrenfeld’s own parents, who recently had difficulty finding a new doctor—will increasingly find themselves without access to high-quality care, with the greatest burden falling on rural and underserved areas. New cuts will further erode this access.
“Congress has the power to stop these cuts and save patients’ access to their doctors,” says Dr. Ehrenfeld. “The Preserving Seniors’ Access to Physicians Act of 2023 is a bipartisan legislative solution that will completely eliminate the cuts. I urge everyone to visit FixMedicareNow.org and contact their member of Congress. Tell them to pass H.R.6683 and protect Medicare patients.”
To learn more, visit FixMedicareNow.org.
Through reforms, advocates say the Medicare system will better meet the needs of patients and doctors and safeguard access to high-quality care.