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      Medicare Opt-Out Trends Among Dermatologists May Reflect Systemic Health Policy: Cross-sectional Analysis

      brief-report
      , MBA 1 , , BS 1 , , BA 2 , , MD, PhD 1 ,
      ,
      (Reviewer), (Reviewer)
      JMIR Dermatology
      JMIR Publications
      Medicare, dermatology, opt out, private contracting, , CMS, health policy, insurance, health coverage, Medicaid

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          Abstract

          Background

          Provider opt-out of accepting Medicare insurance is a nationally tracked metric by the Centers for Medicare & Medicaid Services (CMS) for all physicians, including dermatologists. Although this usually only consists of a small number of providers, the magnitude of opting out has varied historically, often tracing changes in systemic health care policy.

          Objective

          In this paper, we explored dermatologist opt-out data since 2001, as reported by the CMS, to characterize trends and provide evidence that shifts in provider opt-out may represent a potential indicator of the state of health policy and possible needs for reform as it pertains to Medicare.

          Methods

          The publicly available Opt Out Affidavits data set, available from the CMS, was evaluated for providers in all dermatologic specialties from January 1, 2001, to May 27, 2022.

          Results

          There were a total of 196 dermatology opt-outs in the overall period, with the largest spike being 33 providers in 2016, followed by generally consistent decreases through 2021. In the most recent 12 months of data, the number of new monthly opt-outs from January 2022 to May 2022 was significantly higher than that of the trailing 7 months of 2021 ( P=.03).

          Conclusions

          Despite decreasing numbers of dermatologist opt-outs in the late-2010s, 2022 was marked by a significant increase in opt-outs. The reduced acceptance of Medicare by dermatologists may present risks to care access, so it is important to frequently assess physician opt-out data and changes over time.

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          Most cited references6

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          Administrative Burden and Costs of Prior Authorizations in a Dermatology Department

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            Provider Opt-Out Under Medicare Private Contracting

            The 1997 Balanced Budget Act (BBA) permits private contracting for care between Medicare beneficiaries and providers who have opted out of Medicare. This article examines the number and characteristics of providers who have opted-out, their role in the provision of Part B services, and their impact on beneficiary access from 1998 to 2002. Opt-out providers differ from providers remaining in Medicare with respect to specialty, practice characteristics, and Medicare Program activity. Very few providers found opting-out attractive and the departure of this small group of providers appears not to have created access problems for beneficiaries.
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              Changes in dermatology practice characteristics in the United States from 2012 to 2017

              Background Dermatology practice has recently seen multiple changes. A better understanding of trends pertaining to dermatology practice setups is necessary. Objective To analyze the recent changes in dermatology practice in terms of geography, practice size, and gender distribution as well as to analyze the availability of dermatologists based on zip codes’ income levels. Methods This was a cross-sectional study. We extracted data on the sex and billing addresses of dermatologists from Medicare provider utilization and payment data for 2012 and 2017. We used 2017 tax returns data to calculate the poverty level for each zip code. Results Between 2012 and 2017, the number of solo practitioners decreased, while that of dermatologists working in large groups increased. The southern region experienced the largest changes. The male-to-female ratio decreased. Dermatology practices mainly comprised mixed genders, with a higher proportion of all-male groups versus that of all-female groups, but this difference decreased over time. In the northeastern and western regions, more than one third of dermatologists were located in the wealthiest zip codes. Limitations The Medicare data may not be exhaustively representative of the dermatology workforce, and the zip codes of 489 dermatologists’ billing addresses were missing in the tax return dataset. Conclusions These findings provide an understanding of the recent changes pertaining to dermatology practice setups and of the substantial health care disparities based on geographic distribution.
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                Author and article information

                Contributors
                Journal
                JMIR Dermatol
                JMIR Dermatol
                JDERM
                JMIR Dermatology
                JMIR Publications (Toronto, Canada )
                2562-0959
                Oct-Dec 2022
                8 November 2022
                : 5
                : 4
                : e42345
                Affiliations
                [1 ] Department of Dermatology Icahn School of Medicine at Mount Sinai New York, NY United States
                [2 ] School of Medicine University of Missouri-Kansas City Kansas City, MO United States
                Author notes
                Corresponding Author: Nicholas Gulati nicholas.gulati@ 123456mssm.edu
                Author information
                https://orcid.org/0000-0002-6614-3763
                https://orcid.org/0000-0002-8563-6926
                https://orcid.org/0000-0002-5198-1449
                https://orcid.org/0000-0002-4347-0710
                Article
                v5i4e42345
                10.2196/42345
                10334940
                37632903
                3cfe7dc6-d597-43bb-a71d-ca46f136e3d3
                ©Aneesh Agarwal, Joseph Han, Yen Luu, Nicholas Gulati. Originally published in JMIR Dermatology (http://derma.jmir.org), 08.11.2022.

                This is an open-access article distributed under the terms of the Creative Commons Attribution License ( https://creativecommons.org/licenses/by/4.0/), which permits unrestricted use, distribution, and reproduction in any medium, provided the original work, first published in JMIR Dermatology, is properly cited. The complete bibliographic information, a link to the original publication on http://derma.jmir.org, as well as this copyright and license information must be included.

                History
                : 31 August 2022
                : 29 September 2022
                : 11 October 2022
                : 16 October 2022
                Categories
                Short Paper
                Short Paper

                medicare,dermatology,opt out,private contracting,cms,health policy,insurance,health coverage,medicaid

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