This same-o rise-o is becoming commonplace. More than half of physicians are now hospital employees, and, according to Merritt Hawkins, the big physician recruiting firm, the number of employed doctors may grow to 75% of all physicians in the next decade. Charges for physician services, in other words, are likely rise for 75% of physician services.
"As physicians are subsumed into hospital systems they can get paid for services at the systems’ rates, which are typically more generous than what insurers pay for independent doctors. What’s more, some services that physician previously performed at independent facilities, such as imaging scans , may start to be billed as hospital outpatient procedures, sometimes more than doubling the costs."
Besides, a hospital with dominant market share with monopolistic facilities and doctors can negotiate higher prices. Also hospitals recognize that doctors working for a hospital tend to work shorter hours with higher benefits and in general and tend to be less productive than they were in independent private practice. Hospitals insist that even with increased prices, they must struggle to break even on acquired physicians and may end up by decreasing physician incomes