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Study: Affordable Healthcare Requires More Entrepreneurial Physicians

The only way to have true, affordable, healthcare is to increase the number of small business entrepreneurial family physicians in the medical market where the forces of consumer-patient demand, physician labor supply, transparent pricing and menu lists determine the true market price of medicine.

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Citation: McCutcheon, Robin & McCoy, D.. (2019). Physician-to-patient Direct Primary Care: Entrepreneurial Country Doctors Offer a NewMedical Business Model. Advances in Economics and Business. 7. 152-161. 10.13189/aeb.2019.070403.

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Direct Primary Care Saves Patients and Lowers Healthcare Costs

A study by the Society of Actuaries and Milliman reveals that DPC adoption by employers for their employees leads to significant reduction in patient demand for overall healthcare services (up to 19% less) and a statistically significant reduction in the frequency of emergency department visits (up to 53% less).

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The Healthcare System is Spending Billions to Justify Effort, Not Results

In spite of spending trillions on health care and billions on quality improvement efforts, the US healthcare system has the worst health outcomes of any developed nation. A typical hospital spends nearly $6M a year and over 100K personnel hours compiling, creating, formatting, and transmitting quality reporting designed to demonstrate that they made efforts to get members to complete preventive screenings or otherwise close care gaps. Physician practices spent $40,000 and 785 personnel hours on quality reporting.

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Citation: Saraswathula A, Merck SJ, Bai G, Weston CM, Skinner EA, Taylor A, Kachalia A, Demski R, Wu AW, Berry SA. The Volume and Cost of Quality Metric Reporting. JAMA. 2023 Jun 6;329(21):1840-1847. doi: 10.1001/jama.2023.7271. PMID: 37278813; PMCID: PMC10245189.

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Direct Primary Care: A Successful Financial Model for the Clinical Practice of Lifestyle Medicine (2021)

A 2021 study finds that the Direct Primary Care (DPC) model overcomes a major challenge in addressing health care costs–misaligned financial incentives–by directly aligning the interests of patients and physicians.

DPC was effective at lowering costs, providing a better patient experience, improving patient health outcomes (especially when integrated with Lifestyle Medicine) and in enabling physicians to practice the best medicine of their careers”.

Read the study: https://www.ncbi.nlm.nih.gov/pmc/articles/PMC8504342/

Citation: Mechley AR. Direct Primary Care: A Successful Financial Model for the Clinical Practice of Lifestyle Medicine. Am J Lifestyle Med. 2021 Apr 15;15(5):557-562. doi: 10.1177/15598276211006624. PMID: 34646107; PMCID: PMC8504342.