Hartford Business Journal

HartfordBusiness.com | February 8, 2021 | Hartford Business Journal 23 acquisitions of physician groups and healthcare facilities affect the proper functioning of healthcare markets," the FTC said in a statement. "It's something that's already begun and it's moving quite quickly," Chalke said of consolidation. "It's going to be difficult to stop it." With hospitals, insurers and private equity in the mix, unease is growing in the healthcare industry about the fall of traditional barriers between interests, said Arnold I. Menchel, a partner and healthcare specialist at Hartford law firm Halloran & Sage. "I'm inclined to think that what may be driving [Anwar's] proposal are two factors. One is to be sure patients' interests take precedence over shareholders' interests. And second is a potential blurring of the lines of the roles to be played by various players in the industry." Doctor's concerns For Anwar, a member of the Public Health Committee, he sees the prospect of insurers becoming further involved in patient care as an urgent issue that resonates with many of his fellow doctors. He said that every colleague he's approached about his proposed bill has been supportive. "My hope is that physicians are able to practice … based on medical science and the best interest of the patients without the control of for-profit organizations, which may have different agendas," Anwar said. Emmel, who in addition to his ophthalmology practice serves as chairman of the Connecticut State Medical Society's committee on legislation, agrees that physicians are fired up about the issue. "Where a bill like this can go is uncertain but the principle is strongly supported by all physicians," Emmel said. COVID-19 Recovery & Rehabilitation Services CALL TODAY (203) 284-2845 gaylord.org/COVID Wallingford, CT BRAIN FOG SHORTNESS OF BREATH PHYSICAL WEAKNESS STAMINA ISSUES STILL STRUGGLING? Gaylord can help. FOCUS: HEALTHCARE company and Optum alone plans to add 10,000 doctors to its roster this year, he said. Along with independent hospitals, the independent medical practice may be on the path to extinction. Even the COVID-19 pandemic didn't slow the pace of healthcare mergers in 2020, which are expected to be at the same volume as 2019's deals. Private equity remained active in the Hartford area in 2020, with recent deals including a Middletown-based orthopedic group joining forces with a private-equity backed Greenwich practice in September. Private-equity backed PhysicianOne Urgent Care acquired New England Urgent Care and its practice locations in Bristol, Enfield, Manchester and West Hartford in Jan. 2019. "I think we are early in the stage of venture capital looking to come in and roll up physician groups but I expect that will continue," said Thomas Marrion, a partner at Hinckley Allen specializing in healthcare, corporate and business law. "Larger groups have more bargaining power with payers – that's if insurance companies aren't doing the buying." Consolidation has become so marked nationwide that the Federal Trade Commission launched a probe in January to study the impact of physician group and healthcare facility consolidation. Insurers including Cigna, United Healthcare and Aetna were asked for data from six years' worth of patient claims to inform the review, seeking "important evidence documenting how mergers and Tom Marrion Susan Halpin Arnold I. Menchel July 2016 January 2018 % Increase Number of Hospital- Employed Physicians (thousands) 154.9 168.8 9.00% % of Hospital-Employed Physicians 41.70% 44.00% 5.70% Number of Hospital- Owned Practices (thousands) 72.1 80 11.10% % of Hospital-Owned Practices 29.70% 31.20% 5.00% Healthcare consolidation rages on Physician practices in Connecticut and across the country continue to get gobbled up by various entities, including hospitals, health insurers and even venture capital firms. Here's some data on the growing number of U.S. doctors joining hospital systems. Source: Physicians Advocacy Institute

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