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Direct primary care offers employers options, cost savings

As 2022’s health insurance open enrollment dates get closer, many employers are searching for alternatives that offer a better care experience without placing an additional cost burden on employees. The direct primary care model (DPC) offered by EBO MD is a meaningful alternative to fee-for-service insurance billing.

Employers can contract with EBO MD and offer an employee benefits plan alongside a traditional PPO (preferred provider organization) plan. Members can get most (if not all) of their primary care through EBO MD so the health plan only has to cover other services such as emergency care, major surgeries and specialty procedures. Because the business pays a flat fee per employee per year rather than for all charges generated over the course of the year, that cost is typically lower than the total claims cost would be—making it an attractive benefit to employers. According to Mercer, a global health and benefits provider, this collaborative healthcare experience results in lower utilization of ER, urgent care and specialist services.

This smarter use of healthcare translates into real savings for employers—and improved health for employees. Studies have shown that, when combined with a transparent prescription program, direct primary care can reduce a company’s healthcare spend by 15 to 20 percent in one year and reduce healthcare insurance costs by up to 40 percent.

“Employees benefit, too,” says Tony Thompson, EBO MD co-founder. “They can save time and hassle visiting a doctor, plus save money on visits, lab tests and medications. That all-around better experience boosts satisfaction with their company’s benefits program, and it can elevate the employer in the eyes of potential new hires.”

EBO MD memberships cover full access to primary care, including physicals, wellness education, consultative services, minor procedures, care coordination and comprehensive care management, as well as savings from an onsite wholesale pharmacy and laboratory. There are no copays, deductibles or limits on visits.

Because direct primary care is not insurance, employers implementing this type of program must also educate employees about the differences between it and traditional health insurance, specifically expenses due to seeing a specialist or being hospitalized. Supplementing DPC with a high deductible catastrophic insurance plan, health savings account (HSA) and a health discount card can ensure complete coverage for any situation.

For more information, call 573-803-2941 or contact us.

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