DPC for Employee Health
Increasing Costs
It’s no surprise healthcare costs have increased to over $9,000 per year for a single employee. The fact that you can actually reduce your costs is the best kept secret in America. Here’s where to start:
1. Independent Pharmacy Benefits
Most insurance carriers also own the Pharmacy Benefits Manager (PBM). This creates a pricing shell game where markups are hidden and employers pay far more than necessary.
What this solves:
- Eliminates conflicts of interest
- Replaces inflated pricing with fair market rates
- Allows employers to see exactly what they’re paying for each drug
The results:
- Employers often discover they’re overpaying by 500% to 1,000% on many prescriptions.
- The Federal Trade Commission estimates $7.3 billion in excess spend due to this problem alone.
2. Direct Primary Care
Traditional primary care is slow, poorly accessible, and only wins by one metric: volume.
Direct Primary Care replaces this with a membership model that gives employees 24/7 access to a provider who knows them.
What this solves:
- Reduces ER visits and specialty referrals
- Improves preventive care and chronic condition management
- Supports employees outside regular business hours
The results:
- Employers save an average of $2,434 per employee per year by adding DPC.
- Victress Health and Wellness patients utilize 50% less prescriptions than the national average.
3. Hospital Contracts
Hospitals are willing to negotiate directly with employers. When they do, you can get dramatically better rates compared to standard insurance pricing.
What this solves:
- Reduces inpatient and outpatient costs
- Removes network confusion
- Builds collaborative partnerships with local providers
The results:
Instead of paying 800% to 900% of Medicare prices, employers can secure contracts at 140% to 230%. If direct contracting isn’t possible, reference-based pricing still delivers major savings.