HOT TIP: A Group Agreement is better than Individual Provider Contract with payors

From an operational perspective, it is better to obtain a group contract rather than an individual agreement. First, the group agreement will be under an entity name, group TIN and a group NPI. Groups have strength in numbers, whereas payors will negotiate more with a group rather than an individual single provider. Once a new provider joins a group, it takes usually less time for the credentialing and contracting process rather if the individual provider would go through the process solo. Groups also have better benefits for group discounts such as those for employee health insurances, vendor agreement management, and professional liability insurance coverage. Be weary of exceptions that may prevent you from forming a group such as regulatory compliance standards of your state or the payor it self. For example, some states or payors prevent a formation of a group unless there are 5 clinicians.

If you like this tip, or if you are interested in learning more about other ways we can support your success with credentialing, contracting, and operations, please reach out to us at support@mkmedicalsolutions.com, or contact us at 855-MKMED4U.

Until next week, happy practicing!

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