April 14, 2020: MGMA survey sheds light on dire financial impact of COVID-19 on physician practices

FOR IMMEDIATE RELEASE:
April 14, 2020

Media Contact:
Emily Dowsett
Associate Director, Public Affairs
edowsett@mgma.com
 

MGMA survey sheds light on dire financial impact of COVID-19 on physician practices

According to new data from the Medical Group Management Association (MGMA), 97% of medical practices have experienced a negative financial impact directly or indirectly related to the COVID-19 pandemic. On average, practices report a 60% decrease in patient volume and a 55% decrease in revenue since the beginning of the public health emergency. With such significant revenue and volume declines, 48% of respondents have been forced to temporarily furlough staff and 22% to permanently lay off staff, and those percentages are only expected to increase over the next month. 

“Our new data reflect a shocking decline in the number of patients seeking non-COVID-19 medical care during this crisis,” stated Anders Gilberg, Senior Vice President of Government Affairs. “Patients are foregoing necessary preventive and even acute care out of fear of exposure. Medical practices are struggling to keep their doors open as volume collapses. The nation faces a second wave access crisis when the pent up demand for non-COVID-19 care is released and the rest of our healthcare system is off-line as a result of the pandemic.” 

Please click here for an overview of the results and narratives from MGMA members across the country. This survey was conducted April 7-8, 2020, with a total of 724 applicable responses. Approximately 75% of respondents are part of independent medical practices and employ less than 50 full-time-equivalent (FTE) physicians.  

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