Overhead Efficiency

Category: business

The ratio of revenue kept as profit versus the revenue spent on administrative billing/coding tasks.

Because DPC is insurance-free, overhead efficiency is massive. They don't need an army of coders or an expensive claims department. Every dollar of revenue can be focused on patient care, technology, or physician salary.

Common Examples

• Our DPC practice maintains peak overhead efficiency by utilizing automated subscription tools instead of manual insurance billing software.
• The primary reason DPC practices are thriving is their overhead efficiency, which is unparalleled in the traditional insurance-based system.