By using this site, you agree to the Privacy Policy and Terms of Use.
Accept
Health Works CollectiveHealth Works CollectiveHealth Works Collective
  • Health
    • Mental Health
    Health
    Healthcare organizations are operating on slimmer profit margins than ever. One report in August showed that they are even lower than the beginning of the…
    Show More
    Top News
    stress management for healthcare workers
    3 Tips For Healthcare Professionals: How To Stay Beautiful, Healthy, and Happy
    November 2, 2021
    importance of relaxing on the weekend for your health
    Importance of Relaxing During the Weekend for Optimal Health
    March 25, 2022
    LASIK Eye Surgery
    What Is LASIK Eye Surgery?
    May 16, 2022
    Latest News
    Grounded Healing: A Natural Ally for Sustainable Healthcare Systems
    May 16, 2025
    Learn how to Renew your Medical Card in West Virginia
    May 16, 2025
    Choosing the Right Supplement Manufacturer for Your Brand
    May 1, 2025
    Engineering Temporary Hospitals for Extreme Weather
    April 24, 2025
  • Policy and Law
    • Global Healthcare
    • Medical Ethics
    Policy and Law
    Get the latest updates about Insurance policies and Laws in the Healthcare industry for different geographical locations.
    Show More
    Top News
    Ebola Chat
    The Healthcare Hashtag Project: #Ebola
    October 23, 2014
    Reframing Gun Control as a Public Health Issue
    January 12, 2013
    Healthy Hospitality — Smarter, Safer Dining Options
    February 6, 2015
    Latest News
    Building Smarter Care Teams: Aligning Roles, Structure, and Clinical Expertise
    May 18, 2025
    The Critical Role of Healthcare in Personal Injury Recovery: A Comprehensive Guide for Victims
    May 14, 2025
    The Backbone of Successful Trials: Clinical Data Management
    April 28, 2025
    Advancing Your Healthcare Career through Education and Specialization
    April 16, 2025
  • Medical Innovations
  • News
  • Wellness
  • Tech
Search
© 2023 HealthWorks Collective. All Rights Reserved.
Reading: Wal-Mart Offers Medical Tourism Legitimacy
Share
Notification Show More
Font ResizerAa
Health Works CollectiveHealth Works Collective
Font ResizerAa
Search
Follow US
  • About
  • Contact
  • Privacy
© 2023 HealthWorks Collective. All Rights Reserved.
Health Works Collective > Business > Wal-Mart Offers Medical Tourism Legitimacy
Business

Wal-Mart Offers Medical Tourism Legitimacy

drkevin1951
Last updated: November 17, 2012 7:28 am
drkevin1951
Share
4 Min Read
SHARE

Employers are quieting changing their plans to encourage care delivery at high volume, good outcome, low cost facilities….

Employers are quieting changing their plans to encourage care delivery at high volume, good outcome, low cost facilities….

It’s a trend that I’ve been predicting for the last five plus years – medical tourism both domestically and internationally. It seems that the domestic approach got a big boast in recent weeks as Wal-Mart announced that it will begin offering their insured employees the option of undergoing certain procedures at highly ranked health systems across America with very little if no out-of-pocket cost to the employee — travel included (sometimes, even First Class). The approach is being taken for those high end procedures where it’s clear that volume equate to quality – for example, heart and spine patients – where data supports that notion that having the procedure done at a high volume institution results in improved care and lower costs.

The trend has started with the large companies that can negotiate a bundled rate with a health system in return for a guarantee on the delivery of a certain volume of services from the employer. Companies that are participating include: PepsiCo (250,000 employees), Lowe’s (234,000 employees), HCR ManorCare (64,000 employees) and, of course, Wal-Mart (1.1 million covered employees). Generally, the approach that’s taken is the procedure is offered at a highly reputable care delivery organization (e.g. The Cleveland Clinic) with no co-pays or deductibles and travel expenses for the patient and a caregiver or family member are frequently thrown in as part of the deal. The employee can still have the procedure done at their favorite, local hometown hospital but then the co-pays and deductibles apply – so there’s an out-of-pocket expense for the employee.

More Read

Vatican Invests in Stem Cell Firm
Big Box Retailer Forms Unlikely Alliance with Goal of Streamlining Medicaid Policy
In Praise of FDA Collaboration: The Cardiac Safety Example
Guess the Weakest Link in Physician Marketing
Democracy Comes to Healthcare

So, who is benefiting from this on the care delivery side? To date, contracts have included such institutions as The Cleveland Clinic in Cleveland, Ohio; Geisinger Medical Center in Danville, Pennsylvania; Johns Hopkins Medicine in Baltimore, Maryland; The Mayo Clinic in Rochester, Minnesota, Scottsdale, Arizona, and Jacksonville, Florida; Scott & White Memorial Hospital in Temple, Texas; Virginia Mason Medical Center in Seattle, Washington; and, Mercy Hospital Springfield in Springfield, Missouri. So, what’s with the Mercy Hospital in Springfield? Well, it just so happens that the hospital is the closest facility to Wal-Mart’s corporate headquarters in Bentonville, Arkansas.

Whether or not this reduces costs or results in better outcomes is an open question. But, the bet on the part of the companies is that savings will accrue. And, it’s clear that the health systems are very interested in gaining this type of business as a “bundled payment” arrangement. Randy Hargrove of Wal-Mart in announcing the companies decision noted that, “We’re looking to expand these programs to reduce our associates’ out-of-pocket medical costs and provide the highest quality of care and we plan to expand this program to include more procedures and providers.”

Furthermore, it seems that the shift is primary a “domestic” phenomenon. International medical tourism where the obvious cost differential can be huge has never really taken off despite early predictions that it would create a major shift in how healthcare was to be delivered. The Deloitte Center for Health Solutions has labeled the call for foreign medical tourism as “tepid” at best. We should anticipate that the trend for domestic medical tourism (is travel to Cleveland really “tourism”?) will only continue in the coming years as employers look for ways to reduce costs and enhance quality by driving better outcomes.

 

TAGGED:medical tourism
Share This Article
Facebook Copy Link Print
Share

Stay Connected

1.5kFollowersLike
4.5kFollowersFollow
2.8kFollowersPin
136kSubscribersSubscribe

Latest News

Clinical Expertise
Building Smarter Care Teams: Aligning Roles, Structure, and Clinical Expertise
Health care
May 18, 2025
Grounded Healing: A Natural Ally for Sustainable Healthcare Systems
Grounded Healing: A Natural Ally for Sustainable Healthcare Systems
Health
May 15, 2025
Learn how to Renew your Medical Card in West Virginia
Learn how to Renew your Medical Card in West Virginia
Health
May 15, 2025
Dr. Klaus Rentrop Shares Acute Myocardial Infarction heart treatment
Dr. Klaus Rentrop Shares Acute Myocardial Infarction
Cardiology
May 13, 2025

You Might also Like

Medicare Payments to Providers Are Carved, Sliced and Chopped by Sequestration

March 25, 2013

Clinical Trial Recruitment Considerations for 2015

January 21, 2015

The Downside of P4P

February 9, 2013

Are ACOs Just the Managed Care of the 90’s?

October 23, 2014
Subscribe
Subscribe to our newsletter to get our newest articles instantly!
Follow US
© 2008-2025 HealthWorks Collective. All Rights Reserved.
  • About
  • Contact
  • Privacy
Welcome Back!

Sign in to your account

Username or Email Address
Password

Lost your password?