Much to their advantage, Weslaco Independent School District in deep South Texas has effectively injected competition in local health care delivery. WISD has learned that health care givers will compete for business if given the opportunity
By Molly Mulebriar
The Weslaco Independent School District (WISD) has entered into a collaborative agreement with Texas Free Market Surgery (TFMS)(www.texasfreemarketsurgery.com to provide high quality, cost effective health care for the district’s self-funded health plan.
Plan savings will be passed on to plan participants in the form of eliminated or reduced member cost sharing.
Much to their advantage, WISD has effectively injected competition in local health care delivery. WISD has learned that health care givers will compete for business if given the opportunity. More plan sponsors like WISD are realizing PPO networks (wherein almost all area medical providers are “in-network”) don’t produce the savings a direct contracting approach can achieve. Cost savings can be as high as 90% above and beyond PPO network reimbursement schedules.
Other surrounding school districts in deep South Texas are too taking action to stem ever increasing health care costs. These districts include the Edingburg ISD, La Feria ISD and Rio Hondo ISD. All have embarked on innovative health care pricing strategies similar to Weslaco ISD. None are TRS ActiveCare participating school districts.
Rather than rely on PPO networks exclusively, the WISD has established direct agreements with willing providers for transparent, cost effective medical care. The agreement with TFMS is just another example of Weslaco’s aggressive risk management strategies.
This is not the first time WISD has garnered our attention – Weslaco Independent School District Gets A+ For Health Care Management.
Frates (www.fba-tpa.com) is WISD’s third party administrator.
