Concierge Medicine Without the Risk: How to Avoid Contract Leakage with a Properly Structured Relationship

By Keith Elgart
Chief Executive Officer, Concierge Choice Physicians 

​Contracts involve risk, and for health systems operating with tightly managed budgets and executives accountable for the bottom line, committing to a new service provider can be stressful—even intimidating. Most organizations have experienced "contract leakage" at one time or another: the gap between the value initially negotiated in an agreement and the value ultimately realized. Fear of contract leakage can make health system leaders hesitant to move forward with what could otherwise be a valuable opportunity.

Concierge medicine is one such opportunity. Its continued growth and popularity is something health system executives can no longer ignore. Data shows that patients want more control over their healthcare experience, and they are willing to invest in a stronger physician-patient relationship. But how can a health system implement concierge medicine without taking on another risky vendor relationship?

Fortunately, there's a way around that. Contract leakage can't exist when there is no upfront capital investment and very little investment in time or internal resources.

Concierge Choice Physicians (CCP) is the leading provider of concierge medicine services for large medical groups, hospitals, and health systems. Our flexible, no-risk approach is what has earned us a leadership position in the industry.

Here's how implementing the right membership model with CCP is truly risk-free:
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• No upfront costs. CCP invests in the research, development, marketing and launch of your health system's membership medicine program.
• No structural costs. Physicians and patients don't need to move into new, swanky offices. Physicians can practice concierge medicine right where they are, serving the patients who already know and trust them.
• No need to dismiss patients. Concierge medicine is no longer an all-or-nothing model. Membership programs can be offered as an optional service, allowing physicians to care for both concierge and traditional patients.
• Practice analysis backed by industry expertise. CCP's in-depth research identifies the physicians most likely to succeed in a concierge program, ensuring that programs are successfully developed and launched.
• Success is shared. Our contracts are structured so that CCP succeeds only when our clients succeed. This isn't the traditional vendor relationship where you pay upfront and hope for results. CCP’s compensation is tied to the revenue generated by the program, creating a symbiotic relationship that ensures mutual success.
• Start with a pilot program. Even with these safeguards, many executives prefer to start small, and that’s fine with us. Beginning with a limited cohort of physicians allows your organization to see how the program works, how it integrates into your existing structure, and how physicians and patients respond. We are confident that additional cohorts will be added after the successful launch.
• Partner with the industry leader. You may think you're avoiding contract leakage by building a concierge program internally, but do you have the expertise, dedicated staff, and time to do it successfully? Remember, you only get one chance to make a first impression.

​Don't let the fear of a costly and unproductive contract cause you to delay—or worse, miss—an important growth opportunity for your health system. Contact us at 877.888.5590 or [email protected] to learn more about how our contracts are structured and how you can get started with a simple pilot program.

You can also hear directly from one of our clients, Timothy P. Seibert, MPH, Chief Administrative Officer & Executive Director, Primary Care Initiative at Weill Cornell Medicine, in the Becker's Healthcare podcast, How Flexible Concierge Models Are Supporting Physician Sustainability and Patient Experience