This is the correct answer. Large physician groups receive better compensation from insurance companies. The rationale is that physicians within that group will refer to other physicians in the same group and the end result will be better continuity of care, therefore lowering healthcare costs overall. For example, if your Summit Health primary care physician refers you to a gastroenterologist who also works for Summit Health, Summit profits from the services provided by both doctors. If they refer to someone outside of their system, the practice they refer to collects. The continuity of care piece comes in that health records are seamlessly accessible to all providers. This also allows Summit to monitor the “appropriateness of care. Used to be if Dr. A was friends with Dr. B, she might refer patients to Dr. B for bullshit, unnecessary testing or consultation. Dr B becomes wealthier as a result. Bottom line…it’s not going away.