The Corporate Practice of Medicine (CPOM) doctrine in Arizona governs the relationship between healthcare businesses and licensed medical professionals, ensuring that clinical decisions remain in the hands of qualified physicians, rather than non-medical corporations. CPOM laws are in place to safeguard patient care by maintaining the independence of medical providers, preventing the interference of business motives in clinical decisions.

For healthcare providers operating in Arizona, understanding CPOM regulations is critical to ensure compliance, minimize legal risks, and continue to deliver quality patient care in 2025. This blog will guide you through the essential CPOM requirements that healthcare providers need to know, helping you navigate the complex regulatory environment.

This is where Access Plus Health steps in. Understanding the intricacies of Arizona's CPOM laws is essential for every healthcare provider. Access Plus Health offers comprehensive insights and compliance strategies to help you stay ahead of regulatory changes expected by 2025. Trust us to guide you through the complexities of CPOM compliance in Arizona.

What is Corporate Practice of Medicine in Arizona?

Arizona’s Corporate Practice of Medicine laws prohibit non-physicians from owning or controlling medical practices or employing physicians to make clinical decisions. These laws are intended to ensure that patient care decisions are driven solely by licensed medical professionals, not influenced by financial interests or non-medical entities.

CPOM laws in Arizona focus primarily on two main objectives:

1. Protection of Physician Autonomy: Physicians must retain control over medical decision-making processes, free from interference from non-physician business owners.
2. Separation of Medical and Business Functions: Business entities can own medical practices, but they cannot control or influence clinical decisions.

While the state of Arizona permits physician-owned corporations or professional limited liability companies (PLLCs), non-physician investors can only have financial interests, not control over medical operations.

Key Compliance Considerations for Healthcare Providers in Arizona

1. Proper Corporate Structure
   Healthcare providers must establish their practices using a compliant corporate structure, such as a professional corporation or PLLC. These structures ensure that licensed physicians hold ownership and retain control over clinical decisions. Non-physician investors can participate financially but cannot have control over medical practices.
2. Supervision of Non-Physician Providers
   Arizona law requires that physicians maintain control over the supervision of non-physician healthcare providers, such as nurse practitioners (NPs) or physician assistants (PAs). Supervision should be clearly defined in employment agreements and contracts.
3. Compliance with Employment Contracts
   When employing physicians, healthcare practices must ensure that employment contracts comply with CPOM laws. These contracts should preserve the autonomy of physicians and ensure they maintain control over medical decisions.
4. Telemedicine and CPOM
   Telemedicine has become an increasingly popular means of healthcare delivery, particularly post-pandemic. Healthcare providers offering telemedicine services in Arizona must ensure that their telehealth operations comply with CPOM regulations. Physicians must oversee telemedicine services, ensuring that non-physician business owners do not control medical decision-making in remote care.

How to Ensure Compliance in Arizona

1. Work with Legal Experts
   Given the complexity of CPOM regulations, it is essential to consult with legal professionals who specialize in healthcare law and CPOM compliance. They can help healthcare providers navigate Arizona’s CPOM requirements and structure their practices accordingly.
2. Review Corporate Documents Regularly
   Ensure that all corporate documents, including articles of incorporation, bylaws, and contracts, reflect CPOM compliance. Non-physician business owners should be restricted to financial roles, and physicians should retain full control over clinical decisions.
3. Stay Updated with Regulatory Changes
   CPOM regulations can evolve, and healthcare providers must stay informed about changes to the law. Regularly check for updates on Arizona’s healthcare regulations to avoid non-compliance.

Healthcare providers in Arizona must carefully structure their practices to comply with CPOM laws in 2025. By ensuring that clinical decision-making remains in the hands of licensed physicians, implementing appropriate corporate structures, and adhering to supervision and employment guidelines, healthcare providers can avoid legal challenges and provide high-quality care while maintaining compliance.