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independent practice associations (IPAs)

What are independent practice associations?

Independent practice associations (IPAs) negotiate with insurers to provide services for insureds on a flat fee or retainer basis. They allow physicians to remain independent while still collaborating with other doctors to achieve best practices and negotiate with insurers as a group.

IPAs were popular in the 90s, but were not particularly successful and fell out of favor. But they make a comeback with healthcare reform and ACOs.