Only 2 in 5 U.S. physicians now work in independent, doctor-owned practices—down sharply from 60% just over a decade ago. What’s fueling this shift? A toxic mix of shrinking insurance reimbursements, rising overheads, and relentless red tape.
The American Medical Association warns that private practices are unraveling under financial and regulatory strain—while hospitals and private equity firms are rapidly buying them up. Some specialties like ophthalmology still maintain majority independence, but in most fields, corporate ownership is the new norm.With Medicare payments dropping 33% (adjusted for inflation) since the late ’90s—and little relief expected from Congress—the question isn’t if the private practice model will survive, but how much longer can it hold on?