General HFM Financial Policies

Business Corporation


FINANCIAL POLICIES OF HERITAGE FAMILY MEDICINE

Heritage Family Medicine offers a revolutionary approach to patient centered medical
care - a direct relationship with the patient. Heritage Family Medicine works only for you,
keeping charges about 30% lower than average by offering a discount for immediate payment
and by not extending credit. You pay as you leave the office by cash, credit/debit card, or check
(up to a maximum daily family limit of $300.00). See Self-Pay (at a discount).
Payment is due at the time of service, in full, by cash, check, credit or debit card.
If the charges to one family on one day exceed $ 300.00 (very unusual) we will permit the
amount in excess of $300.00 to be paid in three equal monthly installments of not less than
$50.00 each. Prepared, dated envelopes will be provided for this purpose. Failure to return
these envelopes on intended schedule will result in ONE warning letter requesting immediate
payment in full, followed by referral to a collection agency. We have concluded that it is unfair to
all other patients to maintain higher fees for all in order to compensate for the financial
irregularity of a few.

We DO welcome insurance See Insurance Welcome.

While we would prefer to maintain only a direct relationship with all our patients, we realize that
most patients have employer based insurance they would be foolish not to utilize. Heritage
Family Medicine participates fully in most insurance programs, PPOs, etc. We recognize that
despite their inefficiencies, the insurance companies have played an important role in preserving
and encouraging the health of their members. We will work within their guidelines while
promoting optimal health for our patients.

HFM Founding Financial Principals

Real world experience
After 25 years of practice at the founding of HFM, most of them in leadership of a medium sized
multi-specialty group and additional short term experience in academic medicine, a government
run clinic, a church mission clinic, a US Army clinic and several other practice venues in 4 states
and 4 countries, Dr. Richard Faiola has formed some fairly firm opinions about how health care
ought to be delivered.

No compromise with quality
First, there can be no compromise with quality. Heritage Family Medicine hopes to grow, but it
will employ only the most competent, skilled, compassionate practitioners available. Nothing
short of an absolute dedication to the welfare of our patients is sufficient. Clock watching
number counters will not be welcome at any level. The needs of our patients come first.
Period.

Prudent use of patient resources
Patient needs also include the prudent use of their dollars. More tests, more visits, more
consultant referrals, or use of the newest TV-advertised drug is NOT necessarily better
medicine. The practitioners of Heritage Family Medicine will seek at all times to be prudent in
the expenditure of medical resources. When a particular test or procedure might prove
especially costly versus an expected very small likelihood of changing either treatment or
outcome a patient should expect to be so advised and share in the decision whether to proceed.
As we live in a litigious society a patient may be asked to verify in writing that informed decision.
We believe a commitment to a conservative practice style will save patients at least 20% in
over-all costs - our own and referred services. al responsibilities.

Costs of "first dollar coverage"
A great contributor to excess costs in medical care is "first dollar coverage." When patients
believe "somebody else" is paying their bills they may have little interest in reducing
expenditures--and it is easier for the doctor to just "order everything." We do not wish to practice
that way. It has driven up costs so high that 46 million Americans have no health insurance.
That same "first dollar coverage" heaps a tremendous burden of expense on both the insurance
company and the doctor’s office. Full time clerical people process relatively small bills - at both
ends. Those bills need justification, tracking, payment, accounting and auditing. All those
employees need training, policies, scheduling, management, grievance procedures, etc, -- and
salaries.
Increasing numbers of people and several insurance companies are turning to high deductible
or catastrophic coverage plans. As most insurers will accept bills up to 12 months after the
service, there is little point clogging up the system with those bills if the patient knows they will
not be covered. Others, of course, simply have no insurance.

A better way - a discount for immediate payment
If, for whatever reason, a patient does not require a bill to be submitted to a third party, HFM will
give a substantial discount (currently 30%) for cash, check, credit or debit card payment. All
patients will, of course, receive a record of their care and a receipt for any payment made.

An even better way - a low cost retainer fee
While full coverage health insurance is the most desirable option, some businesses and some
individuals simply can not afford it. Heritage Family Medicine offers an alternative approach in
DirectCareMD. For as low as $20.00 per month per enrollee (for a child, $50.00 for an adult)
members of a household can receive full Family Practice medical care. There are no additional
fees or co-pays. Learn more at www.DirectCareMD.com.

Policy for Non-Sufficient Funds (NSF) or other returned check:
Checks returned by the bank as unpaid to Heritage Family Medicine will incur a fee of $40.00
and reversal of the immediate payment discount.  If the unpaid check and the residual of our full,
undiscounted fee is not paid promptly, the matter will be referred to collections and the patient
dismissed from the practice.  We simply are not set up to extend credit; we are not a bank.  It is
simply not fair to other patients to be forced to charge higher fees to cover the added risk and
expense of accommodating those who do not meet their financial responsibilities.