Problems in Health CareProblems in Health CareProblems in Health CareProblems in Health Care• Rising Costs

– Malpractice Insurance– Overhead

• Managed Health Care (HMO)– Reduced reimbursement

• Reduced Income– Cuts in Health Care Costs by the Government

come from Doctors and Hospitals

• Time– More patients to create same income– Stress

-8

-6

-4

-2

0

2

4

-5 -6.4 -4 3.5+3.5

% Change in Physician Income% Change in Physician Income 1995-991995-99

All

Physicians

Primary

Care Specialists

Professional/TechnicalWorkers

Source: HSC Community Tracking Physician Survey

Annual Premiums in 2001Annual Premiums in 2001By Specialty Compared to CaliforniaBy Specialty Compared to California

Annual Premiums in 2001Annual Premiums in 2001By Specialty Compared to CaliforniaBy Specialty Compared to California

$173

,00

0

$111

,00

0

$39,

000

$106

,00

0

$81,

000

$29,

000

$100

,00

0

$60,

000

$22,

000 $4

8,0

00

$28,

000

$10,

000

$0$20$40$60$80

$100$120$140$160$180$200

New York/Florida Michigan Illinois California

Ob/gyn Surgeon Internist

Source: Medical Liability Monitor

$, 000

2003-4: Continuing Decrease in Physician Incomes

HSC Community Tracking Study Physician Survey

Malpractice insurance to rise 40% in NY, NJ & CT

Insurance .com

The OutlookThe Outlook