Arizona Physicians Face Growing Financial Pressures Despite Overall Satisfaction, Survey Confirms

August 21, 2025

Data Confirms Physicians' Challenges

A recent survey conducted by the Arizona Medical Association and the American Medical Association has revealed the complexity of Arizona physicians' satisfaction with practicing medicine, current work situation, level of administrative burden, financial outlook, and experience with commercial payers.


The survey also probed the pressures independent physician-owned practices feel that may motivate them to sell their practice or seek outside funding.

Mixed Results on Overall Physician Satisfaction

The survey findings paint a generally positive landscape regarding overall physician satisfaction, with most respondents expressing contentment with their role as healthcare professionals. However, the results also reveal declining views on key operational aspects of medical practice, particularly around financial stability and administrative efficiency.


Insurance-Related Challenges Top Physician Concerns

Unsurprisingly, Arizona physicians reported widespread dissatisfaction with commercial insurance interactions, citing three primary areas of concern:

  • Fair reimbursement rates
  • Timely payment processing
  • In-network referral accessibility


The administrative burdens placed on physicians, especially in the private practice setting, are a significant point of frustration. The Arizona Medical Association has been aware of these barriers for years, and we've spearheaded several pieces of legislation to address them. We are dedicated to continuing our efforts around administrative burdens and insurance reform.


Read more about our most recent legislative wins aimed at addressing admin burdens.


Independent Practices Under Market Pressure

The survey results indicate that independent practice owners and partners are experiencing significant pressure from the growing presence of hospital insurance groups and private equity firms in the Arizona healthcare market. This trend mirrors patterns observed in other states across the nation.


Financial pressures topped the list of physician concerns, with respondents citing flat or declining reimbursement rates and unfavorable contract terms compared to hospitals and large medical groups. Meanwhile, practice costs continue to rise for physician salaries, staff compensation, and overhead expenses related to administrative and technological requirements.


Private Equity Interest in Arizona Medical Practices

A notable finding revealed that a majority of survey respondents have been approached by private equity firms for investment or acquisition opportunities. Some physicians have also received approaches from hospitals and insurance-affiliated groups seeking practice partnerships or acquisitions.


Despite these external pressures, nearly all respondents indicated they would prefer to continue operating physician-owned practices if financially viable.


Key Factors Driving Practice Sale Considerations

The survey identified several primary factors pressuring physicians to consider selling their practices or seeking external funding:


  • More favorable contract negotiations and reimbursement rates
  • Reduced paperwork and administrative burden
  • Simplified compliance management
  • Lower technology and electronic medical record (EMR) costs
  • Improved work-life balance


Prior Authorization Issues Affecting Practice Decisions

Three-quarters of surveyed physicians reported experiencing problems with prior authorization processes and increased claim denials, issues that have made them more likely to consider selling their practices.


Additionally, a significant majority of respondents encountered difficulties with timely payment processing and increased medical records requests from insurers.


Implications for Arizona Healthcare

While the survey sample may not represent the entire Arizona physician population, the findings reinforce what we already know: that administrative and financial challenges are creating substantial pressure on physicians, especially in independent medical practices.


At the same time, private practice physicians report being overall satisfied with their career and would prefer to continue in a physician-owned practice setting. This data shows a clear opportunity and desire to preserve the private practice model, but it also strongly suggests that it will take broad and deep reforms.


ArMA Continues to Advocate for You

The Arizona Medical Association is committed to preserving the private practice model and your profession by advocating for legislation that alleviates external pressures. The data generated by this survey will significantly aid our efforts, and we extend our gratitude to everyone who took the time to complete the survey.


Stay tuned as we champion legislation to transform healthcare during future legislative sessions.


Download Survey Results

ADHS Issues Standing Orders for Flu, COVID-19 Vaccine Access

By Admin User • September 18, 2026
Statewide orders keep pharmacists and physicians authorized to vaccinate Arizonans amid uncertainty over the next ACIP meeting. Statewide Orders Cover the 2026-27 Flu & COVID Season The Arizona Department of Health Services has issued statewide standing orders supporting access to the 2026-27 influenza and COVID-19 vaccines approved by the U.S. Food and Drug Administration. Arizonans seeking a flu or COVID-19 vaccine should contact their physician or pharmacy to confirm availability. Why the Orders Were Issued Arizona pharmacists may administer vaccines recommended by the Advisory Committee on Immunization Practices, vaccines recommended by the Centers for Disease Control and Prevention for international travel, or vaccines authorized under a prescription, including a physician-issued public health standing order. With the timing of the next ACIP meeting uncertain, ADHS worked with the Arizona Board of Pharmacy to issue statewide standing orders for the flu and COVID-19 vaccines, which function as a prescription allowing pharmacists and physicians across Arizona to administer them to anyone who wants one. ADHS Medical Advisor Weighs In "Vaccines are one of the most important tools we have to protect our communities. The Influenza and COVID-19 vaccines have been proven safe and effective at preventing severe illness, hospitalization, and death. Vaccines help us limit the spread of disease, reduce pressure on our healthcare system and reduce costs," said Dr. Richard Carmona, ADHS public health medical advisor and the 17th U.S. Surgeon General. "We have issued these standing orders to ensure safe and timely access to the vaccines in alignment with scientific and evidence-based guidance." What Arizonans Should Know The standing orders do not require every pharmacy to offer vaccinations, and they do not guarantee insurance coverage for administration. Coverage and out-of-pocket costs vary by plan, so Arizonans should check with their insurance provider before scheduling an appointment. 

Arizona Asks Supreme Court to Halt Prison Health Care Takeover

By Admin User • September 18, 2026
State attorneys seek an emergency stay after lower courts reject bids to delay receivership of the prison health care system. State Makes a Last-Ditch Appeal Attorneys for the Arizona Department of Corrections, Rehabilitation and Reentry asked the U.S. Supreme Court this week to delay a court-ordered receivership of the state's prison health care system. The request comes after both a federal district court and the 9th U.S. Circuit Court of Appeals declined to pause the takeover. In the recent application, former U.S. Solicitor General Paul Clement, a representative of the department, argued that the state deserves more time to make its case before surrendering control of its operations, including oversight of its employees and health care budget. Roots of the Case The dispute began in 2012 when inmates sued the department, alleging the prison system's inadequate medical, mental health, and dental care amounted to cruel and unusual punishment under the Eighth Amendment. The case went through years of litigation and a failed settlement agreement. In 2023, U.S. District Judge Roslyn Silver ruled that the health care system was "grossly inadequate." The court ordered the prison healthcare system to comply with more than 150 "quality indicators," but according to court-appointed monitors, the department failed to comply with 131 of the measures. In light of this finding, Silver named Annette Chambers-Smith, former director of the Ohio Department of Rehabilitation and Correction, to take over as receiver effective Oct. 19. Arguments on Both Sides Clement argues receivership should be the last resort and that Silver moved to it too quickly. He asserts that the department has made measurable progress, including growing its health care staffing by more than 50%, expanding substance-use treatment access, and adopting a new care model. Corene Kendrick, deputy director of the American Civil Liberties Union National Prison Project, which represents the roughly 25,000 people incarcerated in Arizona prisons, called the department's request a "Hail Mary" and said Silver had given the department years of opportunities to comply before ordering receivership. What Happens Next The Supreme Court has not yet set a deadline for the plaintiffs to respond to the stay request. Separately, the 9th Circuit is now reviewing the merits of the receivership order itself. The department filed its opening brief on Sept. 15, and the plaintiffs' response is due Oct. 15. Information in this article was sourced from the Arizona Mirror .