Analysis of a Group Medical Practice

A group medical practice is a group of physicians and other healthcare professionals who work under the umbrella of a single organization. Group medical practices can include single or multiple disciplines.

History

• The first medical group was formed by the Homestake Mining Company of South Dakota in 1870 to benefit employees. Drs. Charles and Will Mayo receive credit for founding the first organized group medical practice in the United States in the early 1900s, according to Baylor University.

Guidelines

• During the latter half of the 20th century and continuing into the 21st, physicians began joining group practices in greater numbers because of an increase in legal documents and guidelines involved in running an individual practice. Such policies that have prompted physicians to join group medical practices include OSHA guidelines and an increase in legal contracts for work completed for health management organizations.

Benefits

• The financial cost of completing the education and training required to become a licensed physician also has led to an increase in doctors joining group practices, instead of setting up solo practices. Group practices usually offer physicians health benefits, retirement plans and disability protection.