restructuring and cash based practice

[Guest guest]

As an academic, I find this discussion most interesting and

informative. It is clear that we are entering a period of significant

restructuring which will affect the profession, clinical practice,

education and research. All of this change will force us to accept

risk, be more independent in our decision making and responsible

for our actions. One issue I have not seen discussed and would be

interested in some feedback about is the prevalence of self-

referred, out of pocket -cash based income as a revenue source.

For physical therapists in direct access states (which is the

majority of states), a potential revenue source is the patient who

will pay directly for services out of pocket. This prevents insurance

rules and referral sources from affecting practice financial

performance. I believe chiropractors consider the self- pay patient

to be an important component of the financial performance of their

practice.

Data from several years ago states that 8- 12% of a physical

therapy practice in a direct access state is from self- pay, self-

referred patients. Albeit a small proportion of patient revenue, it

also represents potential growth opportunities for the independent

physical therapist. What is the status of the self- pay, self-

referred patient in physical therapy today? How do you market,

provide services and financially manage the care for this

population? Thank you.

Email: rsandstr@...

Sandstrom PhD, PT

Department of Physical Therapy

Creighton University

2500 California Plaza

Omaha, Nebraska 68178

(402) 280- 5692 FAX

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