A New Choice for Employers Looking to Reduce Healthcare Costs
Healthcare spending continues to increase year after year. Hospital and outpatient facility services represent a significant portion of rising healthcare costs. Under the current private insurance system, these facilities can charge inflated prices for services but then discount those services for the insurance providers of their choice.
Ask yourself – why should employers pay retail prices for in-network private insurance coverage when the same service can be provided at Medicare-based wholesale costs?
In response to this inefficient system, Cherry Bekaert Benefits Consulting has developed Focused Average Cost Tracking (“FACT”), a healthcare model that significantly lowers the cost of hospital and outpatient facility claims for employers with self-funded medical plans. Runaway healthcare costs may threaten a company’s long-term viability, but FACT focuses on capping hospital and outpatient facility charges based on average costs primarily tracked by Medicare.
Advantages of FACT-based Pricing Healthcare Plans
- FACT-based pricing helps address the wide cost variations of hospital and outpatient medical facility charges.
- Employers and employees pay much less with the FACT-based pricing model than with traditional private insurance plans.
- FACT reduces and contains rising healthcare expenses now and in the future – with the potential to initially save 15-30% or more on costly hospital and outpatient facility claims and limit the annual increase in your health benefit spending.
- FACT can help eliminate the need to continually make plan design changes and/or shift more costs to your employees. In fact, many employers have found they’re able to enhance their plan design due to savings under the FACT-based pricing model.
Is FACT-based Pricing Right for You?
- Yes, if you are currently self-funding your medical plan or you are considering self-funding your plan in the near future.
- Yes, if you are ready to significantly reduce hospital and outpatient facility costs.
It’s Time to Bend the Healthcare Cost Trend Downward
By switching to a FACT-based pricing healthcare plan and reducing your hospital and outpatient facility costs by 15-30% or more, you can save your company money, improve your bottom line and mitigate expensive cost increases in the future.
Please contact Kyle Frigon with questions about FACT.