That Device Contract May Be Bleeding You--And Your Doctors--Dry



How does a senior leader make the case to his doctors that medical device companies are taking bread out of their mouths--and their pockets? Show them a graph, for one thing. Over the past 10 years or so, medical device costs are up in the neighborhood of 50 percent while physician reimbursements have shrunk nearly 10 percent; these numbers reflect the bottom line after all lobbying, court decisions and legislation are finished.Seeing that graphic tell the macroeconomic story of how a largely static reimbursement pie is divided made me lean over to the hospital CEO sitting on my right and ask him how difficult it was to make the case to physicians that their choices to use the most expensive medical devices harm not only hospital margins, but their own personal margins as well.
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