What Are The Benefits of Direct Primary Care for Providers?
You and your practice can now receive higher reimbursement for the services that you provide thanks to Direct Care For Me’s Direct Primary Care system. Our system is designed to provide you and your practice with the tools ensure the financial health of your practice.
- Paid at beginning of each month on a per patient per month basis
- No billing or coding
- No third-party (i.e. insurance company) dictating patient care
- Additional payment for phone (telemedicine) and e-mail advice
- Enhanced revenue
DPC Practice Benefits
- Physicians paid on a per member per month basis
- Removes all the expenses associated with billing and coding
- Eliminates account receivables (AR), collections, and speeds up the revenue cycle
- Additional revenue stream for phone (telemedicine) and e-mail advice
- Reduced paperwork
- No interference from insurance companies
- Continuous cash flow (guaranteed monthly revenue)
Direct Primary Care Financials
The operational simplicity of a direct primary care practice offers a higher reimbursement rate than traditional practices. The following is a typical financial statement for a direct primary care practice.
total revenue – $360,000
total expenses – $126,000
net income – $234,000
These are typical financials for a direct primary care practice. DPC revenue is extremely simple, as there is no insurance involved.
In this particular example, the revenue was calculated by assuming that 600 patients paid an average of $50 per month. The overhead expenses include the cost of equipment, office space, and personnel.
The typical rate for overhead expenses is 40% or less in DPC practices. The reason for this lower rate is that DPC practices do not do any billing or coding (unlike fee for service / insurance model which has 70% and above overhead). DPC practices often also utilize exclusive supply chain contracts which cause their overhead expenses to drop even further. Use your own practice’s financials for comparison purposes.