Marketing in Healthcare: It Ain’t What It Used to Be

Healthcare professionals and businesses are routinely barraged with people who claim to be able to generate business for them. 

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A. Commission based marketing and sales involving federal or state payers, even those that arguably comply with the personal services arrangement and management contract safe harbor, are detected by federal regulators; You can get the best at tax rates for Doctors through

B. The regulators will look to pierce any enterprise, including those consisting of multiple tax ID entities, in hopes of making the case that commercial based marketing payments were in exchange for even one drop of federal/state payer money; 

C. Both health insurers and large providers (e.g. labs, pharmacies) work hand in hand with federal regulators to pursue a suspicious activity, the result of which is to support the large provider; and 

D. Targets of enforcement activity who have obtained good legal advice often pay just to put an end to the enforcement because there's a risk of losing and "winning" can feel like losing when one considers the enormous defense costs. 

Even if the cost to the entire healthcare system with multiple providers is the same as fewer, larger providers, the pressure on healthcare marketing arrangements is very heavy. And for that reason, healthcare providers and marketers alike will have to comply not only with the law but the ever more aggressive prosecutorial intent as well.