“This solution removes all traditional insurance companies from your plan. The consulting/brokerage industry is deeply infested with private equity and Wall Street.”
31% Healthcare Cost Reduction in One Year
This employer’s plan already ran exceptionally well, as you can see in the claims per employee analysis below. But for more than eight years, they’d studied Reference-Based Pricing to determine if and when the time might be right.
We pulled the trigger in June of 2023.
The plan is significantly better than it was prior to this leap (reduced deductible, out-of-pocket maximum, copays, and coinsurance cost to employees). Despite that, we saved 31% year over year.
Was there facility pushback? Yep—about 6% of the time, we had to engage a facility to explain the plan, and 1% of the time, we had to steer a patient elsewhere to an equally effective but much more friendly facility.
This solution removes all traditional insurance companies from your plan. The consulting/brokerage industry is deeply infested with private equity and Wall Street. Those consultancies maximize profit (which they have a fiduciary obligation to do if publicly traded) by maintaining the status quo with national carriers. That means they’d have to give up the overrides (largely secret payments) they receive from those behemoth insurers.
If you ask those brokers/consultants about this type of plan, 99% of them will disparage it by telling you:
• It doesn’t work well;
• The promises exceed the results;
• Employees will not get access to quality facilities; or
• Your HR team will drown in the chaos and noise.
And sadly, about 96% of the time, that messaging works.
But, for the 4% of employers ready for real change and sick of being pilfered by the industry, we are eviscerating their healthcare costs.
This employer has already referred me to three other grocery chains. Who’s next?
