Telemedicine Contracts: What Physicians Should Watch Out For
Telemedicine is growing fast, and more physicians are being offered positions that include or focus entirely on virtual care. While telemedicine can offer flexibility and new opportunities, the telemedicine contract for physicians can include terms that are very different from traditional employment agreements. Understanding these differences is key before you sign.
One major area to watch is compensation structure. Telemedicine contracts may pay per patient, per hour, or based on productivity metrics like RVUs. Make sure the payment formula is clearly spelled out in your physician employment agreement, and confirm how billing, collections, and patient no-shows are handled. Vague language can lead to misunderstandings or lower-than-expected earnings.
Another red flag is scope of practice and licensing requirements. Telemedicine often involves treating patients in multiple states. Your contract should clearly define where you are allowed to practice and who is responsible for maintaining the required licenses. Some agreements may impose liability for treating patients in states where you are not licensed, which can be risky without proper coverage.
Malpractice coverage is also critical. Telemedicine presents unique risks, and not all employer-provided policies automatically cover virtual care in all jurisdictions. Confirm whether tail coverage is included, and whether the policy covers telemedicine across multiple states. A thorough physician contract review can identify gaps and protect you from unexpected liability.
Be sure to check termination and non-compete clauses. Some telemedicine contracts include broad restrictions that limit where you can provide virtual care after leaving the company. Negotiating narrower terms can preserve your flexibility and future earning potential.
Finally, pay attention to work expectations and technology requirements. Your contract should define hours, patient volume expectations, and who provides the telehealth platform, software, and technical support. Ambiguous terms can lead to burnout or disputes over responsibilities.
Telemedicine offers exciting opportunities, but the contracts can be complex. Working with a physician contract lawyer and conducting a careful physician contract negotiation can help you understand your obligations, protect your income, and ensure your telemedicine practice aligns with your career goals.
Contact our physician contract review lawyer to set up a review of your telemedicine contract.
