Rise in Physician Departures from Traditional Medicare from 2010 to 2023
Between 2010 and 2023, the rate of physicians departing from traditional Medicare doubled, with primary care providers showing the highest exit rates, influenced by administrative demands and pandemic factors.
A recent study published in July 2025 illustrates a significant trend: physicians are gradually exiting the traditional Medicare program at increasing rates over the past decade. Researchers Hannah T. Neprash from the University of Minnesota and Michael E. Chernew from Harvard Medical School analyzed Medicare billing data spanning from 2010 through 2024, involving nearly 800,000 physicians submitting claims under Part B.
The study reveals that the proportion of physicians leaving Medicare each year has doubled from 1.80% in 2010 to 3.60% in 2023. This increase was characterized by a slow rise during the early part of the decade, a period of stability from 2014 to 2016, followed by a gradual ascent from 2017 to 2019. The Covid-19 pandemic caused a notable spike in exit rates during 2020 and 2021, with the trend continuing into 2023 at levels surpassing those before the pandemic.
Among different specialties, primary care physicians experienced the highest exit rate in 2023 at 4.41%, outpacing hospital-based specialists (3.50%), surgical specialists (2.99%), and medical specialists (2.49%). Additionally, the data indicate that the age-adjusted rate of primary care physicians leaving Medicare increased annually more sharply than other specialty groups, by 0.21 percentage points.
Authors suggest that the increased departure rates could be influenced by multiple factors, including the added administrative burden brought on by new communication requirements like portal messaging and detailed documentation demands. This trend raises concerns about access to primary care and the future landscape of Medicare services.
One of the authors disclosed ties to the healthcare industry, but the study provides important insights into physician behavior post-pandemic and highlights evolving challenges in Medicare provider participation.
For more information, see the full study published in JAMA Health Forum: DOI: 10.1001/jamahealthforum.2025.2267.
Source: https://medicalxpress.com/news/2025-07-physicians-exiting-traditional-medicare.html
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