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Cash-based healthcare aims to provide all individuals with vital healthcare services, eliminating the burden of navigating insurance company requirements.

The average American continuously struggles with their ability to pay for essential healthcare services, often facing the devastating decision of having to choose between potentially breaking the bank or a worsening health situation. According to the founder and CEO of digital pharmacy corporation DiRX Inc., Satish Srinivasan, MS, the astronomical gap in health insurance plays a significant role in this dynamic.

A Kaiser Family Foundation (KFF) report found that a staggering 27.5 million Americans do not have health insurance, and the loss of Medicaid imminently approaching for millions of people will also affect this figure. Srinivasan notes that both underinsured patients and patients who lose Medicaid are apt to struggle with finding the funds to meet medical payments and, as a result, may have to relinquish their chance to receive vital medical care and treatment.

Srinivasan points out that several studies have found that 30% to 55% of health outcomes are attributed to social determinants of health. According to a report published by JAMA Network, racial and ethnic minority groups experience an increased likelihood of poor health outcomes compared to those who belong to racial and ethnic majority groups. With more than half of Americans depending on job insurance for their survival, this creates an alarmingly unbalanced and ineffective system.

Thankfully, Srinivasan highlights a new trend emerging with the realization of cash’s integral role in democratizing healthcare services. With an emphasis on offering patients unlimited healthcare via a fixed monthly cash rate that’s predictable and low-cost, cash-based healthcare aims to provide all individuals with vital healthcare services, eliminating the burden of navigating insurance company requirements.

Unfortunately, many pro cash-pay-healthcare companies are up against resistance regarding health insurance alternatives. Srinivasan attributes this blockage to intermediaries motivated by their own incentives versus solutions that truly benefit clients. While cash-based healthcare is not a panacea for the US’s entire breadth of healthcare system issues, it is a positive motion toward equity in both service and treatment options for all Americans.