Association for Direct Care Launches to Lower Health Care Costs and Expand Direct Contracting
WASHINGTON D.C. – Today, employers, health care clinicians, and health care innovators launched the Association for Direct Care, a new coalition dedicated to expanding direct contracting, value-based care, and giving employers, clinicians and patients greater control over how health care is purchased and delivered.
The Association will advocate for policies that remove barriers to direct contracting, increase transparency, and support innovative payment arrangements that lower costs, improve quality, and strengthen the relationship between patients and their health care providers.
“Americans and the job creators who provide health benefits to millions of workers are sick and tired of watching health care premiums rise year after year,” said Taylor Hittle, Executive Director of the Association for Direct Care. “Direct contracting offers a better way to purchase health care by lowering costs, cutting administrative waste, and bringing greater transparency to the system. The time is right for employers, clinicians, and health care innovators to lead the way. We look forward to working with Congress and the administration to remove barriers to direct contracting and make health care more affordable.”
“For too long, the American health care system has kept the people paying for care, the providers delivering it and the families relying on it apart,” said Mark Newman, Founder and CEO of Nomi Health. “Direct contracting closes that gap and creates a simpler, more accountable system built around better care and better value. We have seen it work in Michigan and other states, and this association is how we help make it standard practice across the country.”
“When patients have access to longitudinal, relationship-based primary care and when physicians have greater flexibility and less administrative burden, the whole country benefits,” said Stephanie Quinn, AAFP senior vice president for external affairs and practice experience. “We are eager to work alongside employers, purchaser groups, clinicians and others who share our commitment to improving affordability, access and value through stronger primary care.”
“Employers continue to look for innovative ways to deliver high-quality, affordable healthcare to their employees and families, and direct contracting is an important tool to help get there,” said Jenny Goins, Interim President and CEO of the National Alliance of Healthcare Purchaser Coalitions. “Direct contracting gives employers greater flexibility to purchase care in ways that reduce costs, improve quality, and deliver better value for working families.”
“For too long, employers and working families have faced rising health care costs without corresponding improvements in quality or affordability,” said Melissa Bartlett, Senior Vice President, Health Policy, The ERISA Industry Committee. “Direct contracting offers a promising alternative by empowering employers to work directly with providers to deliver high-quality, more affordable care while reducing unnecessary administrative complexity. ERIC is proud to support the Association for Direct Care’s efforts to advance innovative, market-based solutions that strengthen competition, improve transparency, and put patients and purchasers at the center of the health care system.”
“Indiana employers are facing some of the highest costs in the nation and see direct to employer arrangements as a strategy to lower costs and improve care,” said Randa Deaton President and CEO of the Employers’ Forum of Indiana. “Indiana has led the nation with laws that better enable employers to engage in direct contracting, and we are glad to join the Association for Direct Care to better enable direct arrangements for all US employers.”
“Every other dollar a company spends is visible. Finance can see software spend, travel spend, payroll — down to the transaction. Health care is the one place where an employer pays the bill and never sees the receipt,” said Alyssa Simpson Rochwerger, Co-Founder and CEO of Grounded Health. “No other part of the business would tolerate that for a minute. Direct contracting, and real access to claims and pricing data, is how employers get to see what they’re paying for. That’s why Grounded Health joined the Association for Direct Care.”
The Association’s members represent employers, health care clinicians, health care technology companies, and other leaders working to make health care more affordable and accessible. Its policy priorities will include expanding direct contracting across the commercial market and federal health programs, improving access to health care data, and reducing regulatory and administrative barriers that stand between patients, employers, and providers.
About the Association for Direct Care
The Association for Direct Care is a national coalition of employers, health care clinicians, health innovators and other organizations working to advance direct contracting as a more affordable, transparent, and patient-centered approach to health care. To learn more, visit EmployerDirectCare.org.
