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Transcarent looks to overhaul self-insured market
Transcarent CEO Glen Tullman (Photo courtesy Transcarent) Livongo founder Glen Tullman is the new CEO of Transcarent, a company that is looking to overhaul the employer-sponsored insurance business by creating a digital platform “overlay” to existing plans.
Tullman isn’t looking to replace traditional insurance — though he doesn’t rule that out for the future — but to offer a new way to navigate members to high-quality, low-cost care, even if that means flying them to the best and least expensive facility.
All of this comes with no premiums, copays or bills for the patient. Transcarent also isn’t changing employers for upfront costs. There is no per- member, per-month fee.
Transcarent is entering into risk-based contracts, in which it takes a pre-negotiated percentage cut of an employer’s healthcare cost savings after the fact.
Finding less expensive sites of care is not dependent upon the Centers for Medicare and Medicaid Services’ price transparency rule, as there is so much variation in how the services are listed that it is an unreliable predictor, according to Tullman.
Also, a Health Affairs study recently found that most large hospitals are non-compliant with the rule. Instead, Transcarent relies on its own findings for saving money through researching sites of care. […]