Since 1994, A.J. Lester has helped major self-insured employers contract directly with medical providers, negotiating direct agreements with tens of thousands of doctors and hundreds of hospitals across the U.S. Our strategies have saved clients millions, helping them break free from the escalating costs and declining service of the profit-bloated managed care industry. At the same time, we've helped medical providers establish "win-win" contracts based on fair reimbursements, friendly terms, and direct access to employers who share their same interests in the patient's well-being.
Given the overwhelming influence that health insurers wield as middlemen standing between employer (as buyer) and medical provider (as seller), direct contracting has proven an effective board-level strategy best driven by strong CFO or CEO involvement. Top executives of corporations, health systems, and medical groups who know the value of cutting out the middleman from any business transaction, appreciate A.J. Lester’s “outside-the-box” approach and unique strategy of bringing the ultimate buyer and seller together.
We’ve helped employers achieve immediate savings and long-term cost containment through direct contracting. While other employers have struggled with annual increases in plan costs, our clients’ annual medical costs per employee have run 35-50% below the national average. At the same time, hospitals and doctors have benefited from higher reimbursements and more equitable agreements than those offered by commercial managed care networks. The result of strong, long-term relationships with employers is evidenced by virtually non-existent provider attrition from direct provider networks.
Direct contracting isn’t for everyone. Employers who are satisfied with their insurance carrier's excuses that blame increased health plan rates on rising medical costs may not be interested. Medical providers who are satisfied with lower reimbursements, greater practice restrictions, and diminished bargaining power with insurance carriers may not be interested. But for employers and providers who are fed up with the excuses, and the "business-as-usual" managed care landscape, direct contracting represents an important opportunity to do things differently. A.J. Lester & Associates, Inc. specializes in working with such employers and providers, offering sharp and effective strategies for bringing the parties together into a direct healthcare model that finally works.