Payments to Physician Practices and Incentives to Serve Different Racial and Ethnic Groups

Are payments to US physician practices larger for outpatient visits with non-Hispanic White patients than for similar visits with Hispanic or non-Hispanic Black patients?In this nationally representative sample of 152 336 outpatient visits from 2014 to 2021, total payments to physician practices from health insurers and other sources were 8.8% less for non-Hispanic Black patients and 9.8% less for Hispanic patients compared with non-Hispanic White patients. These gaps, which were adjusted for visit content, geographic market, and year, were largest for pediatric visits (13.9% for non-Hispanic Black children and 15.1% for Hispanic children) and smaller when also adjusted for insurance source (4.9% and 5.6%, respectively).Differential payments to physician practices by patient race and ethnicity may worsen disparities in health care access, utilization, and quality.

Corresponding Author: Aaron L. Schwartz, MD, PhD, University of Pennsylvania Perelman School of Medicine, 423 Guardian Dr, Philadelphia, PA 19104 (aaron.schwartz@pennmedicine.upenn.edu).

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