Medical Licensing for Retired Physicians: How to Re-enter Practice

Re-entering medical practice after retirement can be a complicated and time-consuming process, but with the correct preparation, it is perfectly doable. Retired physicians seeking to return to active practice should consult their state medical board for particular recommendations, as restrictions differ by state. The process entails renewing or restoring their medical license, providing documentation of prior licensure, completing the required Continuing Medical Education (CME) credits, and passing a background check. In some situations, physicians may be required to demonstrate clinical competency via exams or supervised practice, particularly if they have been out of practice for several years. There may also be fees for reactivation, background checks, and CME courses. Understanding the distinct criteria of each state and remaining organized with documentation can assist streamline.

Why Many Physicians Retired In Recent Years

During and after the pandemic, the healthcare sector has faced a shortage of workers. Many health workers have left their jobs due to professional burnout. Health departments in at least 13 states have warned that these chronic staffing shortages could compromise their ability to respond effectively to future health crises, according to ABC News.

According to the study by Jackson Physician Search, one in four physicians cite burnout as the primary reason behind their decision to retire, while 50% of healthcare administrators believe age is the key factor. The study also showed that although economic concerns have caused 38% of physicians to delay retirement, 60% of the 24% who had initially planned early retirement due to COVID-19 still intend to follow through with their decision.

Why Retired Physicians Want to Renew Medical License

In 2011, a survey conducted by Human Resources for Health, which included 1,162 inactive physicians, demonstrated that nearly 20% of respondents had resumed their practice after taking a career hiatus. Additionally, the survey revealed that physicians who returned to the workforce after a sabbatical were evenly distributed between men and women, with the majority returning to family or internal medicine.

According to Statista, 160,000 physicians were inactive in the United States in 2015. Information regarding how many of these doctors return to practice after leaving for non-disciplinary reasons remains limited. The American Medical Association (AMA) estimates that 10,000 doctors are eligible to return to practice annually.

According to a recent survey conducted by Resume Builder, the high cost of living and inflation are compelling retired Americans to seek employment. Approximately 12% of retirees intend to return to the workforce in the forthcoming year, with 61% attributing their decision to the increasing cost of living. Also, 34% of respondents indicated they’re returning due to inadequate retirement preparation, debt repayment. Another 34% returned to work simply to stay active and not to be bored.

Even though inflation has shown signs of stabilizing, the increasing costs have significantly reduced the purchasing power of Social Security benefits by 36%, as highlighted by a study from The Senior Citizens League (TSCL). To maintain the same level of financial comfort as they had in 2000, retirees who left the workforce before that year would need an additional $516.7 per month, or $6,200 annually.

Physicians Retire Process

Physicians near the conclusion of their practice are typically faced with a series of mandatory administrative and legal tasks. First, the physician needs to inform the State Licensing Board of Medicine. In some states physicians may choose to keep their license active, opting for an “active retired” status, which allows them to maintain their licensure without the need for malpractice insurance or CME requirements, though they are still required to pay a biennial renewal fee.

In the next step, physicians who have worked with Certified Registered Nurse Practitioners (CRNPs) or Physician Assistants (PAs) must formally end all agreements with them. CRNPs are required to notify the Board of Nursing, while the physician must file a Written Agreement Change Form with the appropriate medical board, whether it be the Board of Medicine or Osteopathic Medicine.

Additionally, physicians are required to notify their patients of their imminent retirement for at least 30 days. This will be a wonderful tone to take in writing. In this scenario, the physician informs the patient that they will no longer be accessible to provide care and offers aid in transferring medical data to a new provider. And how patients can get copies.

Those with claims-made malpractice insurance may consider obtaining “tail” coverage. This sort of insurance protects potential lawsuits resulting from treatments provided before retirement, providing an extra layer of security even after the physician has left active practice.

Physicians must also ensure that they appropriately manage health plan notifications, such as deactivating their Medicare billing number using CMS Form 855I and contacting Medicaid and other commercial insurers at least 30 days before retirement. To effectively cancel participation, follow the rules indicated in each health plan contract.

The management of medical records is another critical responsibility. Physicians are required to retain patient records for at least seven years. In Pennsylvania, for example, records about non-adults must be kept until the patient turns 18, plus an additional year (two years for osteopathic physicians). Many physicians designate a successor physician or a records management organization to perform this role, assuring compliance with both federal and state regulations.

Similarly, business records, including payroll and billing paperwork, as well as HIPAA documentation, must be kept for six years. Here again, legal advice may be useful to determine the exact duration and manner of record retention in the specific state.

Physicians who will no longer be prescribing medications must notify the Drug Enforcement Administration (DEA) to delete their registration number. This can be accomplished by phone, mail, or by indicating “non-renewal due to retirement” on the DEA renewal form. Finally, as the retirement process progresses, physicians often send additional notices to the following entities:

• Hospitals
• Nursing homes
• Professional associations
• Landlords
• Vendors

They also take care to close bank accounts, cancel any remaining subscriptions, and update their mailing address as they wind down their professional affairs.

Returning to Practice After Retirement: Case Studies from Different States

Most states do not allow you to put your medical license on hold simply. However, in other places, such as California, physicians can file for an inactive medical license, which permits them to halt their practice without permanently losing their credentials. There is no requirement to fulfill CME (Continuing Medical Education) requirements or submit a comprehensive application in order to reactivate an inactive medical license. Depending on the regulations of your state, you may be required to pay fees and maintain the license inactive for a specific period of time.

Switching to inactive status can save money because inactive license fees are typically lower than active license fees. You won’t have to track or meet CME obligations. The disadvantage is that reactivating an inactive license may take some time, and if the license is inactive for too long, you may be asked to reapply. Even having an inactive license, you’ll still have to pay fees and are subject to any board discipline.

While inactive status may be an option, it is generally advised to keep a current medical license. If you decide to return to work, you can resume practicing right away. It also offers flexibility, letting you change your mind about practicing at any time. You are required to stay current with CME and other professional requirements, and you’ll need to continue paying the standard renewal fees.

On the other hand, not all states provide for the possibility of transferring a license to an inactive status. On July 1, 2024, the Idaho State Board of Medicine transitioned to a new licensing system. As part of this change, the Board will no longer offer inactive licenses as a separate type. Licenses that are not renewed on time will automatically shift into an inactive status. Physicians will no longer have to renew or pay fees for their dormant licenses.

Physicians with an inactive license will not be authorized to practice medicine. The inactive license will still provide title protection, allowing physicians to identify themselves as MDs, DOs, or physicians, but without practicing rights. Physicians can reinstate an inactive license within five years; beyond that period, they must submit a new application to the Board of Medicine.

In Massachusetts, retired physicians or allowed their full medical license to expire can reapply for licensure. If the physician has been out of practice for less than two years, they may file a Request for a Change of License Status to active. If they have not practiced for two or more years and wish to return to patient care (direct or indirect), the Board may require them to demonstrate clinical competency before license reinstatement. In addition, a lapsed license renewal application is available for physicians whose complete Massachusetts license expired owing to nonrenewal. They can apply to reactivate their license.

Maintaining a medical license in Florida might be especially difficult for retired physicians because of the state’s stringent criteria. For instance, physicians or physician assistants are required to complete continuing medical education (CME) courses in controlled substance prescribing, domestic violence, human trafficking, and medical errors. They must also submit certificates for all 38 CME hours every two years. Furthermore, clinicians who are not practicing in Florida are required to submit an annual $250 payment to the Neurological Injury Compensation Association (NICA), even for physicians not practicing in Florida. Also, fingerprints must be renewed every five years, with a $42 retention fee, or physicians will have to do it again at an authorized facility.

Medical License Application Process for Retired Doctors

Currently, 49 state medical boards have established regulations that outline the steps physicians must take to re-enter medical practice after being inactive for a period ranging from 1 to 10 years, which the AAMC defines as an “extended period of clinical inactivity.” To resume practice, physicians in all states must demonstrate continuous education and competency. Credentialing committees expect returning doctors to be up to date on the newest medical technologies, treatment regimens, and clinical practices, as well as demonstrate good clinical skills.

Returning physicians are usually required to go through a formal review in order to recover their medical license. Depending on the state, they may also be required to undergo supervised retraining or participate in monitored clinical encounters overseen by a licensed physician.

These monitoring or retraining periods can often last up to a year, which is a significant amount of time. Furthermore, these programs have numerous prerequisites, and physicians are sometimes granted just a “temporary” or “restricted” license during this time, complicating things like acquiring hospital privileges and obtaining malpractice insurance coverage.

This combination of circumstances makes re-entering the industry difficult and time-consuming for many doctors. Furthermore, the particular algorithm for actions may vary slightly from state to state. In general, the following series of actions should be taken:

1. Begin by reaching out to your state’s medical board for specific guidelines pertaining to retired doctors.
2. Gather all required documentation (previous licenses, CME certificates, identification, and any other requested items).
3. Fill out the reinstatement application carefully, ensuring that all information is correct and up to date.
4. Submit all needed payments, which may include application, processing, and background check fees.
5. Be ready to undergo potential assessments, such as skills evaluations or interviews, to demonstrate competency.

Costs may encompass application fees, background check expenses, CME course fees, and possible examination charges. The review period can vary, typically ranging from several weeks to a few months, depending on the state’s procedures and workload.

Some states require passage of the Special Purpose Examination (SPEX), Comprehensive Osteopathic Medical Variable-Purpose Examination (COMVEX), or similar examinations to prove current competence, depending on the time spent outside the practice.

What Can a Physicians Do After Returning from Retirement

Many retired MDs, and DOs find that after months of rest, they miss the active engagement of their medical careers. Despite their departure, individuals frequently wonder if they can still practice or write prescriptions, and the answer is yes.

With the rise of flexible options such as locum tenens, part-time roles, and online opportunities tailored for retired physicians, there are plenty of ways to extend their careers.  Post-retirement work enables you to pursue your interests while maintaining a flexible schedule, making it easier than ever to return to the medical field on your own terms.

1. Full-Time Work Options. Many retired doctors still have a passion for medicine and can find full-time work by partnering with other physicians, taking on new jobs, or looking into opportunities in research, healthcare management, or teaching.
2. Online or Remote Work. As global work patterns alter, retired physicians are becoming increasingly sought after for telemedicine employment. There are also chances for advisory work in hospital administration or government agencies, where their combined medical and business skills can affect policies and procedures.
3. Continuing Education. Lifelong learning is widespread among physicians, and retirement provides an opportunity to seek more education such as an MBA or study a new focus. Many retired doctors are interested in research, writing, or joining worldwide networks, operating on a larger scale than providing direct patient care.
4. Work and Travel. Locum work allows retired physicians to fill in for doctors temporarily while traveling. These roles can be found nationally and internationally, offering flexible schedules and the opportunity to explore new destinations while continuing to practice medicine.

This list covers various ways for retired doctors to continue contributing to the field while maintaining flexibility and exploring new opportunities.

Tips for a Smooth Application Process

To receive medical licensing, there are a few critical actions to take that will assist make the process go more quickly and efficiently. Keep all of your paperwork organized and easily accessible to speed up the process. Furthermore, check the state medical board’s website on a regular basis for updates or changes in standards, so that you are always up to date and prepared for any changes in the licensing procedure.

Navigating the medical licensing process after retirement can be overwhelming and time-consuming, especially if you’ve been away from practice for a while. Fortunately, MedicalLicensing.com is here to assist you at every stage of the process, ensuring that you meet all of the requirements for re-entering the field with ease and confidence.

Our devoted team of specialists has extensive experience organizing re-entry applications, continuing education needs, and even accelerated licensing possibilities in a variety of jurisdictions. We will ensure that your application is complete and satisfies all deadlines and requirements. Partnering with us allows you to focus on patient care while we manage all of the complex administrative tasks, guaranteed.