As employers continue to face elevated health benefits costs, Nomi Health is teaming up with Henry Ford Health to rethink the traditional paradigm.
Henry Ford has signed on to join Nomi's direct network program, which offers direct contracting solutions to self-funded employers. The health system's participation marks a significant expansion in the offering, according to an announcement from the company.
Michigan employers that enroll will gain access to Henry Ford's provider system, which includes more than 550 sites of care and a wide array of primary, specialty and complex care services. They can then make those services available with $0 deductibles and copayments as well as no surprise bills.
Mark Newman, CEO and co-founder of Nomi Health, told Fierce Healthcare that the team chose Michigan as its first "full platform" state, meaning it rolled out its full data, payment and network platforms at once. He said Nomi launched first in the western part of Michigan, and, in early conversations with Henry Ford, made clear that the initial rollout was a proving ground.
About 40 employers representing about 10,000 workers joined that rollout, then the team at Nomi brought those data back to Henry Ford to bring them on officially, Newman said.
"They said, 'All right, and prove it,'" Newman said. "'And then we'll do this together.' And here we are, and now it's becoming a model for the rest of the country."
Under the model, participating employers have streamlined access to Henry Ford's services and care facilities with $0 out-of-pocket for members while also expediting payments to providers. The roster of options includes primary and preventive care; specialty services; complex medical procedures; and virtual and home health.
In addition to broadening the reach of Nomi's services, the partnership builds in existing work in the direct contracting space from Henry Ford, as, in 2018, the system contracted directly with GM for healthcare services.
"We are deeply committed to improving affordability and access to high-quality healthcare and proud to join forces with Nomi, which shares our dedication to this mission," Robin Damschroder, chief financial officer and president of the value-based enterprise at Henry Ford, said in an email.
And Newman said the team is not planning to stop with Michigan. Nomi is currently focused in the Midwest, South and the Rockies and is in active conversations with providers across these regions.
He said it helps that the team is already armed with key data to kick-start these conversations and can immediately open with honesty about what healthcare really costs.
"It's a little bit like the game of Risk," Newman said. "You just kind of keep taking more territory from a few starting points as you go."