About direct contracting
A More Direct Way to Purchase Health Care.
Direct contracting allows an employer or plan sponsor to purchase care directly from a clinician, health system, advanced primary care practice or other provider partner. These arrangements can offer more transparent prices, clearer terms and greater control over where health care dollars go.
How Direct Contracting Works
- Direct relationships between purchasers and providers
- Transparent prices and defined services
- Incentives tied to quality and outcomes
- Simpler experience for employees and families
Why It Matters
- Lower costs
- Better access
- More transparency
- Less administrative complexity
- Stronger purchaser-provider relationships
Models of Direct Contracting
- Direct primary care
- Centers of excellence
- Bundled surgical arrangements
- Virtual direct care
- Direct specialty care
- On-site/near-site employer clinics
Barriers to Scale
- Fragmented demand
- Policy ambiguity
- Data gaps
- Operational complexity
- Anticompetitive Contract Restraints
- Upfront Implementation Costs
