Reimbursement declines and staffing issues could prove to be challenges to growth for gastroenterology practices.
The recommended age for colonoscopies is now 45, down from 50, and colorectal cancer rates are high among the U.S.'s aging population, pointing to increased demand for colonoscopies and other GI procedures.
"One major concern for the GI industry over the next decade could be the increasing prevalence of gastrointestinal disorders due to rising obesity rates and an aging population," Haydee Padilla, administrator of Mountain View Surgery Center in Redlands, Calif., told Becker's.
While increased demand typically promises future revenue for businesses, the staffing and reimbursement issues facing many GI practices may make for a more uncertain future in the industry.
"This could strain resources and drive up healthcare costs," Ms. Padilla said.
Gastroenterology was also one of 13 specialties that saw declining reimbursement rates despite higher volumes per beneficiary. And cuts could continue next year, as CMS' proposed physician fee schedule for 2025 includes a 2.8% conversion factor decrease. This could have direct implications for gastroenterology, a field where 88% of physicians work in private practice and 42.7% are self-employed.
While gastroenterology remains more independent and fragmented than many other specialties, these factors could still fuel consolidation.
"Many young gastroenterologists are running away from private practice," Adam Levy, MD, a gastroenterologist in Macon, Ga., told Becker's in January. "This is due to the high cost of educational loans and an environment where hospitals are offering large salaries to graduates. It is difficult for private practice to compete upfront due to declining reimbursements."