Physician management services agreement is a contract that sets out the terms and conditions between a physician or group of physicians and a management services organization (MSO). The agreement outlines the responsibilities and obligations of both parties and establishes a framework for their working relationship.
The main purpose of the agreement is to help physicians to focus on providing quality healthcare to their patients while the MSO takes care of the business aspects of their practice. The physician management services agreement typically covers the following areas:
Scope of Services: The agreement should clearly define the services that the MSO will provide to the physician or group of physicians. These may include billing and collections, accounting, human resources, compliance, marketing, and other administrative services.
Compensation: The agreement should specify how the MSO will be compensated for its services, whether through a flat fee, a percentage of collections, or a combination of both. The compensation structure should be fair and reasonable and take into account the value of the services provided.
Term and Termination: The agreement should establish the length of the contract and the conditions under which it can be terminated. This may include non-performance by either party, breach of contract, or other specified circumstances.
Confidentiality: The agreement should include provisions for maintaining the confidentiality of patient information and other sensitive data. The MSO should be required to comply with all applicable laws governing the confidentiality of medical records and other personal information.
Liability and Indemnification: The agreement should specify the liability of each party for any damages or losses arising from their respective actions or omissions. The MSO may be required to provide indemnification to the physician for any claims or lawsuits resulting from their services.
Governing Law and Jurisdiction: The agreement should specify the governing law and jurisdiction in the event of a dispute between the parties. This will help to ensure that any legal disputes are resolved efficiently and effectively.
In conclusion, a physician management services agreement is an essential document that helps to establish a working relationship between physicians and MSOs. By clearly defining the scope of services, compensation, termination, confidentiality, liability, and governing law, the agreement can help to minimize the risks and uncertainties associated with such partnerships. As a professional, I would recommend that physicians and MSOs seek legal advice and guidance from experts in healthcare law and professional associations in drafting and reviewing their agreements.