Cardiology Market impacted by Demographics
Recently, many believed that the demand for cardiologists and specialists was falling while too many were still being trained. Currently there are over 25,000 members in the American College of Cardiology. A recent study by the ACC suggested that all graduate fellows found a position and usually continued with a goal in medical practice.
Employment of physicians and surgeons is expected to grow faster than the average for all occupations. Job opportunities should be very good, especially for cardiologists and their subspecialties like Cardiology Invasive and Cardiology Non Invasive that are willing to practice in rural and low-income areas where there is a greater shortage of medical practitioners. Opportunities for cardiologists vary depending on geographical location. As with most medical specialties, there are fewer job openings in large cities or other desirable locations. However, San Diego currently has a shortage of cardiologists and has many job openings.
Overall, the years of experience, the exact sub specialty, geographic location and the type of facility determine the Cardiologist salary. Medical Group Management Association states the mean salaries for cardiology jobs are $400,000 for non-invasive cardiologists, $450,000 for invasive non-interventional cardiologists and $540,000 for interventional cardiologists. In addition to salaries Cardiologist also have additional incentives and bonuses. In fact, a study by the AMA states that a large portion of a cardiologist’s salary comes from those incentives and bonuses, which are related to contributions to income and net revenues of the practice.
Aging Population
The US population is aging. From 2010 and 2035, all age groups 70 and above will increase over 95%. This means there will be a greater demand for all health care services and relatively smaller younger population of physicians taking the retiring physicians place . Some fear that as the Baby Boom generation starts receiving Medicare coverage the older physicians may retire more quickly rather than accept the lower fees and higher workload of the government funded insurance. Further, it is estimated that as many as one-third of today’s practicing physicians will retire by 2020. However, the recession and massive job loss across the country has had a direct impact on the revenue stream to physicians. When people lose their job, they also lose their health care benefits and so access to health care.
Stock Market Decline
The recent stock market decline has impacted older physicians decisions. Some physicians are postponing retirement because of the economy’s impact on their retirement savings. But even a three- to five-year delay won’t address the impending loss of experienced physicians.
Health Insurance Reform
The final uncertainty is the outcome of national health reform. If the reform actually works in increasing the enrollment into health care insurance programs then when combined with the long term the aging population and these increased numbers should push demand for services and therefore cost higher. However, no one yet knows what will happen to reimbursement rates from Medicare and this new program. The question is will there be rate a cut of reimbursement rates for different procedures by Medicare and this new program that may ultimately decrease the income of all specialties.
Because of these and other factors many physician practices are waiting before making any decisions until they have a better idea of how the health reform will impact these reimbursements and their income. These same forces are impacting Invasive Cardiology and Non Invasive Cardiology jobs alike.
