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Ohio CPOM Laws

Is Ohio A Corporate Practice of Medicine (CPOM) State?: Yes


In Ohio, the Corporate Practice of Medicine (CPOM) doctrine serves as a critical safeguard to ensure that medical care remains under the control of licensed professionals. This law prohibits non-physician individuals or entities from owning or controlling medical practices. This legal framework is designed to prevent commercial interests from influencing patient care, prioritizing the medical judgment of licensed practitioners.

Ohio CPOM Laws

Under Ohio corporate practice of medicine regulations, only licensed physicians and healthcare professionals are permitted to own and operate medical practices. Acceptable business structures include Professional Corporations (PCs) or Professional Associations (PAs), where all owners must hold valid medical licenses. By enforcing these ownership rules, CPOM Ohio ensures that the integrity of medical decisions is preserved.

Ohio CPOM also strictly prohibits fee-splitting. Specifically, you cannot share revenue from medical services with unlicensed individuals or organizations, including investors or administrative staff. Therefore, to comply, you must set compensation for management or administrative services at fair market value and avoid arrangements that resemble profit-sharing.

To navigate these complexities, many Ohio medical practices turn to Management Services Organizations (MSOs). MSOs handle essential non-clinical responsibilities such as billing, payroll, and facility management. As a result, licensed practitioners can focus on patient care while ensuring compliance with CPOM Ohio requirements. Importantly, MSOs do not infringe on the ownership or medical decision-making rights of licensed professionals.

Adhering to these regulations can be challenging, but Old Mission Medicine is here to help. Our team of experts specializes in assisting healthcare practices with compliance under Ohio corporate practice of medicine laws. From structuring compliant business entities to optimizing your operational framework, Old Mission Medicine provides the guidance and tools you need to succeed. Contact us today to ensure your practice remains compliant while thriving in Ohio’s healthcare landscape.