Prevention Over Procedure: The Physician's Pay Paradigm

In healthcare negotiations, financial resources must be allocated strategically among various categories such as medical services, capital, philanthropy, and reserves. A key insight is that the Kaiser system leans towards prevention to minimize the need for costly surgeries, which ultimately benefits all parties involved. The unique structure of physician salaries, as salaried employees rather than being paid per service, significantly shifts incentives. This model encourages physicians to prioritize preventive care, fostering an environment where procedures are not incentivized and patient health is paramount. Such an approach has led to effective initiatives, such as colorectal cancer screening programs aimed at early detection and prevention.