Reviewing a physician employment contract is one of the most important steps in securing a position that aligns with your professional goals, financial needs, and personal priorities. Employment contracts are complex legal documents that govern everything from your compensation and benefits to workload, job responsibilities, and even your career mobility after leaving the position.

The stakes are high: signing a contract without fully understanding its terms can lead to unexpected challenges, dissatisfaction, or financial burdens. To help you navigate this process, we’ve compiled a comprehensive list of questions to ask during a physician contract review. Armed with these questions, you can identify potential red flags, negotiate favorable terms, and ensure your agreement supports your long-term success.

Why It’s Important to Ask Questions During a Contract Review

Physician contracts are often designed to protect the interests of the employer. While this doesn’t mean your employer is trying to take advantage of you, it does mean you need to advocate for yourself to ensure the terms are fair and reasonable.

Benefits of Asking Questions

  • Clarify Ambiguities: Contract language can be dense and vague, making it essential to seek clarification on key points.
  • Identify Red Flags: Asking the right questions helps uncover unfavorable terms or omissions.
  • Strengthen Negotiation Power: Demonstrating your knowledge and preparedness positions you as a confident professional.

Key Areas to Address During a Physician Contract Review

Compensation and Financial Terms

  1. What is the base salary, and how is it determined?
    • Ensure the salary aligns with industry benchmarks for your specialty, location, and experience.
  2. Are there additional compensation components, such as bonuses or productivity incentives?
    • Clarify the metrics for bonuses (e.g., RVUs, collections) and whether they are realistic and achievable.
  3. How often is salary reviewed, and are there opportunities for increases?
    • Look for annual reviews or cost-of-living adjustments that ensure your compensation keeps pace with inflation.
  4. What expenses are reimbursed?
    • Ask whether CME, licensing fees, relocation expenses, or professional memberships are covered.
  5. Does the contract include signing bonuses or loan repayment?
    • Confirm whether these incentives come with repayment obligations if you leave early.

Benefits Package

  1. What type of health insurance is provided?
    • Ask about coverage details, including premiums, deductibles, and out-of-pocket costs for you and your dependents.
  2. What retirement plan options are available?
    • Determine whether the employer offers matching contributions and how long it takes to become vested.
  3. Is malpractice insurance included, and what type of policy is it?
    • Clarify whether the policy is claims-made or occurrence-based, and confirm who pays for tail coverage if needed.
  4. What are the paid time off (PTO) and vacation policies?
    • Ask how PTO is accrued, whether unused days roll over, and if vacation time includes holidays and sick leave.
  5. Are there provisions for disability insurance?
    • Review the coverage amount and whether it includes short-term and long-term options.

Job Responsibilities and Workload

  1. What are my clinical responsibilities?
    • Request details about patient volume expectations, administrative duties, and teaching or research obligations.
  2. How is call coverage determined, and is it compensated?
    • Ask about call frequency, how shifts are distributed among physicians, and whether additional compensation or time off is provided.
  3. What support staff and resources are available?
    • Ensure you’ll have adequate nursing, administrative, and technical support to manage your workload effectively.
  4. How are schedule changes or additional duties communicated?
    • Look for language that defines how new responsibilities are assigned and whether you have input in the process.

Restrictive Covenants

  1. Does the contract include a non-compete clause?
    • Review the geographic scope, duration, and specialty restrictions to ensure they are reasonable and enforceable in your state.
  2. Are there non-solicitation clauses?
    • Determine whether you’re restricted from soliciting patients, staff, or referral sources if you leave.
  3. What happens if the non-compete clause prevents me from finding local opportunities?
    • Consider negotiating a buyout option or exceptions for termination without cause.

Termination Clauses

  1. What are the terms for termination without cause?
    • Confirm the notice period and whether severance pay is included.
  2. What constitutes “for cause” termination?
    • Ask for clear definitions and examples to avoid subjective or vague interpretations.
  3. What happens to bonuses or benefits if I leave mid-contract?
    • Clarify whether you forfeit bonuses, retirement contributions, or other benefits if you terminate early.

Malpractice Insurance and Liability

  1. What are the coverage limits for malpractice insurance?
    • Verify that the limits meet state requirements and are adequate for your specialty’s risk level.
  2. Who is responsible for tail coverage, and how much does it cost?
    • If you’re responsible, consider negotiating for employer-paid tail coverage or a stipend to offset the expense.

Relocation and Career Transitions

  1. Is relocation assistance provided?
    • Confirm whether moving expenses are reimbursed and whether repayment is required if you leave early.
  2. Is the contract portable if I move within the organization?
    • Ask whether you can transfer your position to another location or department without renegotiating.

Future Opportunities and Growth

  1. Are there opportunities for partnership or leadership roles?
    • If joining a private practice, ask about the timeline, cost, and requirements for becoming a partner.
  2. Does the employer support professional development?
    • Look for provisions for CME funding, leadership training, or tuition reimbursement for advanced degrees.
  3. What metrics determine promotions or leadership eligibility?
    • Ensure that criteria for advancement are clear and achievable.

Miscellaneous Clauses

  1. What happens in the event of a merger or acquisition?
    • Ask whether the contract terms remain in effect or are subject to renegotiation.
  2. Does the contract include arbitration or mediation clauses?
    • Review how disputes are resolved and whether the process is fair and transparent.
  3. Are there provisions for maternity or paternity leave?
    • Confirm whether leave is paid or unpaid and how it affects your job responsibilities.

Tips for a Successful Contract Review

Seek Professional Guidance

Contract review by a healthcare attorney or contract specialist is essential for identifying risks and negotiating favorable terms.

Prepare for Negotiations

Research industry benchmarks and identify your priorities before approaching your employer.

Document All Changes

Ensure that any negotiated terms are documented in the final contract. Verbal agreements are not legally binding.

Take Your Time

Don’t rush the process. Carefully review every detail and ask questions until you fully understand the terms.

The Value of Asking the Right Questions

Asking questions during a physician contract review isn’t just about clarifying terms—it’s about ensuring that your agreement supports your professional goals, financial security, and personal well-being. By addressing each aspect of the contract with care, you can avoid costly mistakes and lay the foundation for a successful and fulfilling career.

Remember, your employment contract is more than a job offer; it’s a partnership between you and your employer. Taking the time to review and negotiate it thoroughly is one of the most important investments you can make in your future.

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