MedPAC proposal on Medicare physician pay prompts praise from AMA (Medical Economics)

The Medicare Payment Advisory Commission (MedPAC) has recommended tying annual physician reimbursement to the Medicare Economic Index (MEI) minus 1%—a shift praised by the American Medical Association (AMA) as a step toward stabilizing physician pay amid ongoing cuts. The AMA criticized current policy, noting a 2.83% reduction in 2025 payments despite rising costs and simultaneous pay increases for Medicare insurers. With private practices struggling and patient access—especially in rural areas—at risk, AMA President Dr. Bruce Scott urged Congress to heed MedPAC’s advice, stating: “Physicians are the foundation of health care, not insurance profits.”