Michigan school districts offer insurance-free care to beat rising health costs

Three Michigan school districts are embracing a specialized clinic to counteract the rising healthcare costs. The Corunna Plum Health clinic, housed within a former high school building, provides free medical care for its 13 patients. These patients receive no copays or deductibles for physician assistant Shelley Littleton's services, which cover a range of ailments from poison ivy to high blood pressure.

On a recent day, the clinic dispensed nearly $550 worth of free medications. Superintendent John Fattal of Corunna Public Schools praises the clinic for offering "health care the way it's supposed to be," with visits lasting at least half an hour. The Corunna district, along with Lansing and Van Buren, forms a consortium that provides healthcare through Plum Health, a Detroit-based provider of "direct primary care."

This model bypasses traditional insurance and offers a direct financial transaction between the patient and the health provider. Corunna began paying $90 monthly for each of its 255 employees to utilize a two-day-a-week primary care clinic two years ago. The districts cover deeply discounted medications, eliminating out-of-pocket prescription drug costs.

By offering easy-access, free primary care, the districts hope to reduce emergency room and urgent care visits, which can cost thousands of dollars. About 110 district staff members have insurance through the Michigan Education Special Services Association, while others may have insurance through spouses, the individual market, or none at all.

Direct primary care sidesteps the budget-bulging surges in healthcare costs caused by high-priced drugs and increased medical system usage, according to Dr. Philip Eskew, a direct primary care physician.