Guide
State Impact Review | The Corporate Practice of Medicine
The Corporate Practice of Medicine (CPOM) doctrine puts restrictions on what entities are able to provide medical services. We've put together a guide on the impact of CPOM by state so you can ensure your business is compliant.
By Sam W. & Matt S.,
published 8/20/24
What is the Corporate Practice of Medicine doctrine?
The Corporate Practice of Medicine (CPOM) doctrine prevents non-physician entities and corporations from practicing medicine and from employing physicians to provide medical services. The legal doctrine emerged in response to corporate influence in healthcare. Corporate pressures can create conflicts of interest and erode professional medical judgment. The CPOM doctrine helps maintain the medical profession’s integrity. It ensures that patient care decisions are based on medical necessity rather than financial considerations.
Key Features
While the laws and exceptions vary by state, the CPOM laws impose some version of the following:
Corporate Ban.
Non-licensed entities are prevented from practicing medicine. The CPOM doctrine also prohibits corporations from employing physicians to provide medical services.
Physician Owned.
Professional corporations must be owned and controlled by licensed professionals in the same field. Why? Because only licensed individuals can practice medicine.
Physician Controlled.
Medical decisions must be made by licensed physicians, so that patient care is based on medical expertise rather than corporate interests.
Enforcement.
State medical boards and regulatory agencies enforce the CPOM doctrine. Violations can result in disciplinary actions, fines, and other penalties.
Why does the CPOM matter?
There are 33 states with some version of the CPOM. It has a big impact on how healthcare providers set up their practices.
In light of the potential penalties, it’s important to know what you can and cannot do. The best compliance strategy is preventing conflicts on the front end. Ply Health will help you understand how CPOM regulations impact the payer enrollment process. The legal team at Provider Legal will ensure you start and stay compliant with CPOM regulations.
We’re excited to meet you!
50-State Impact Review
Each state decides the scope of the CPOM’s doctrine. In some states the CPOM ban applies to all healthcare providers. In other states, the corporate ban only applies to physicians.
Use the drop down menu to check out the source of the CPOM law in any state you’re interested in. For more information about the doctrine–and its notable exceptions!--contact the authors.
What is the Corporate Practice of Medicine doctrine?
The Corporate Practice of Medicine (CPOM) doctrine prevents non-physician entities and corporations from practicing medicine and from employing physicians to provide medical services. The legal doctrine emerged in response to corporate influence in healthcare. Corporate pressures can create conflicts of interest and erode professional medical judgment. The CPOM doctrine helps maintain the medical profession’s integrity. It ensures that patient care decisions are based on medical necessity rather than financial considerations.
Key Features
While the laws and exceptions vary by state, the CPOM laws impose some version of the following:
Corporate Ban.
Non-licensed entities are prevented from practicing medicine. The CPOM doctrine also prohibits corporations from employing physicians to provide medical services.
Physician Owned.
Professional corporations must be owned and controlled by licensed professionals in the same field. Why? Because only licensed individuals can practice medicine.
Physician Controlled.
Medical decisions must be made by licensed physicians, so that patient care is based on medical expertise rather than corporate interests.
Enforcement.
State medical boards and regulatory agencies enforce the CPOM doctrine. Violations can result in disciplinary actions, fines, and other penalties.
Why does the CPOM matter?
There are 33 states with some version of the CPOM. It has a big impact on how healthcare providers set up their practices.
In light of the potential penalties, it’s important to know what you can and cannot do. The best compliance strategy is preventing conflicts on the front end. Ply Health will help you understand how CPOM regulations impact the payer enrollment process. The legal team at Provider Legal will ensure you start and stay compliant with CPOM regulations.
We’re excited to meet you!
50-State Impact Review
Each state decides the scope of the CPOM’s doctrine. In some states the CPOM ban applies to all healthcare providers. In other states, the corporate ban only applies to physicians.
Use the drop down menu to check out the source of the CPOM law in any state you’re interested in. For more information about the doctrine–and its notable exceptions!--contact the authors.
What is the Corporate Practice of Medicine doctrine?
The Corporate Practice of Medicine (CPOM) doctrine prevents non-physician entities and corporations from practicing medicine and from employing physicians to provide medical services. The legal doctrine emerged in response to corporate influence in healthcare. Corporate pressures can create conflicts of interest and erode professional medical judgment. The CPOM doctrine helps maintain the medical profession’s integrity. It ensures that patient care decisions are based on medical necessity rather than financial considerations.
Key Features
While the laws and exceptions vary by state, the CPOM laws impose some version of the following:
Corporate Ban.
Non-licensed entities are prevented from practicing medicine. The CPOM doctrine also prohibits corporations from employing physicians to provide medical services.
Physician Owned.
Professional corporations must be owned and controlled by licensed professionals in the same field. Why? Because only licensed individuals can practice medicine.
Physician Controlled.
Medical decisions must be made by licensed physicians, so that patient care is based on medical expertise rather than corporate interests.
Enforcement.
State medical boards and regulatory agencies enforce the CPOM doctrine. Violations can result in disciplinary actions, fines, and other penalties.
Why does the CPOM matter?
There are 33 states with some version of the CPOM. It has a big impact on how healthcare providers set up their practices.
In light of the potential penalties, it’s important to know what you can and cannot do. The best compliance strategy is preventing conflicts on the front end. Ply Health will help you understand how CPOM regulations impact the payer enrollment process. The legal team at Provider Legal will ensure you start and stay compliant with CPOM regulations.
We’re excited to meet you!
50-State Impact Review
Each state decides the scope of the CPOM’s doctrine. In some states the CPOM ban applies to all healthcare providers. In other states, the corporate ban only applies to physicians.
Use the drop down menu to check out the source of the CPOM law in any state you’re interested in. For more information about the doctrine–and its notable exceptions!--contact the authors.
Authors’ Contact Information
Samantha Wu
Ply Health
Email: hello@plyhealth.com
Matthew Stevens, Esq.
Founder, Provider Legal
Email: mstevens@providerlegal.com
Phone: (714) 280-7097
Authors’ Contact Information
Samantha Wu
Ply Health
Email: hello@plyhealth.com
Matthew Stevens, Esq.
Founder, Provider Legal
Email: mstevens@providerlegal.com
Phone: (714) 280-7097
Authors’ Contact Information
Samantha Wu
Ply Health
Email: hello@plyhealth.com
Matthew Stevens, Esq.
Founder, Provider Legal
Email: mstevens@providerlegal.com
Phone: (714) 280-7097
