Physician Assistant Contract: A General Guide

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A physician assistant contract is an agreement between a physician assistant and a supervising physician defining the terms from which the PA offers assistance. In addition, the agreement generally summarizes the scope of practice, obligations, duties, and restrictions of the physician assistant, ensuring compliance with applicable state regulations, rules, and professional norms. This blog post will discuss the fundamentals of a physician assistant contract and other relevant details.

Essential Elements of a Physician Assistant Contract

A well-drafted physician-assistant agreement not only safeguards the interests of both parties but also ensures a smooth and mutually advantageous working association. Below are the essential elements of a physician assistant contract:

• Identification of the Parties: Clearly state the names and contact information of both the physician assistant and the employer (typically a medical practice or healthcare facility). This section should also include any affiliated entities involved in the agreement.
• Scope of Employment: Define the duties and responsibilities of the physician assistant within the healthcare setting. This section should outline the specific tasks, patient care obligations, and any restrictions on practice to ensure clarity regarding the PA's role.
• Compensation and Benefits: Clearly outline the compensation structure, including salary, bonuses, and any other forms of remuneration. Additionally, detailed benefits such as health insurance, retirement plans, vacation days, and continuing education allowances. Specify the payment terms, frequency, and any conditions related to bonuses or benefits.
• Work Schedule and Hours: Comprehensively define the expected work schedule, including the number of hours per week and any on-call or weekend requirements. Address how overtime will be compensated if the PA is likely to work beyond the standard hours.
• Term of Termination and Employment: Specify the term of the employment contract, whether it is a fixed duration or ongoing. Summarize the provisions under which either party can terminate the contract, including notice periods, grounds for termination, and any severance packages.
• Licensing and Credentialing: Ensure that the contract addresses the PA's responsibility to maintain a valid and unrestricted license to practice. Include provisions for credentialing, specifying the employer's support in obtaining and maintaining necessary certifications.
• Professional Liability Insurance: Clearly outline the arrangements for professional liability insurance. Determine whether the employer will provide coverage or if the PA is responsible for securing their insurance. Address the coverage limits and any tail coverage provisions after the contract terminates.
• Confidentiality and Non-compete Agreements: Include clauses related to the confidentiality of patient information and any proprietary information of the employer. If appropriate, describe any non-compete or non-solicitation limitations, ensuring they are reasonable in duration and scope.
• Conflict Resolution: Establish a mechanism for settling conflicts between the parties. It may comprise arbitration, mediation, or litigation. Summarize the measures to be taken in case of a conflict and the governing ordinance that will apply.
• Professional Development and Continuing Education: Address the employer's commitment to supporting the PA's ongoing professional development through continuing education. Outline any financial assistance or time off granted for educational purposes.
• Compliance with Laws and Regulations: Include a clause specifying that both parties agree to comply with all applicable federal, state, and local laws and regulations governing healthcare and employment practices.
• Miscellaneous Provisions: Include any additional provisions relevant to the specific circumstances of the employment relationship. This may include relocation assistance, equipment provision, or any other unique terms agreed upon by both parties.

Types of Physician Assistant Contracts

Physician assistant contracts differ in structure and content, reflecting the diverse settings in which PAs practice. Below are some different types of physician assistant contracts.

• Locum Tenens Contracts: Locum tenens arrangements are temporary contracts that allow physician assistants to fill in for other healthcare professionals on a short-term basis. These contracts are prevalent when a physician assistant is needed to cover a temporary vacancy, such as during maternity leave, vacation, or while a healthcare facility searches for a permanent hire. Locum tenens contracts specify the duration of the assignment, compensation details, and any additional benefits or travel allowances. These agreements benefit PAs seeking flexibility in their work schedules or exploring various practice settings without committing to a long-term position.
• Independent Contractor Agreements: Some physician assistants work as independent contractors rather than traditional employees. Separate contractor agreements are distinct from employment contracts in that they define a business relationship rather than an employer-employee relationship. PAs may have more autonomy over their schedules and working conditions in these arrangements. Independent contractor agreements typically outline the scope of work, compensation structure, responsibilities for taxes and benefits, and the duration of the contractual relationship. PAs entering into independent contractor agreements should consider their tax implications carefully, as they may be responsible for managing their taxes and withholdings.
• Partnership Contracts: Physician assistants may enter into partnership contracts when working collaboratively with other healthcare professionals or establishing joint practices. Partnership agreements define the terms of the collaboration, outlining responsibilities, decision-making processes, and profit-sharing arrangements. These contracts often cover financial aspects such as capital contributions, expenses, and revenue distribution. Partnership agreements ensure clear communication and expectations among collaborating PAs, physicians, or other healthcare entities.
• Negotiating Contracts: Regardless of the type of contract, negotiating terms is a vital aspect of the process for physician assistants. PAs should be aware of their professional worth, considering factors such as experience, specialization, and the demand for their skills in the market. Negotiable elements in contracts may include salary, bonuses, benefits, working hours, and any restrictive covenants such as non-compete clauses. PAs should also seek clarity on malpractice insurance coverage, professional development opportunities, and any termination or contract renewal provisions.