Manufacturers pay higher rebates at higher volume. Health systems buy enough to reach the top tiers. An independent practice, on its own, rarely does. Pooling changes that.
Why volume matters
Many manufacturers pay rebates on the biologics a practice buys and administers. The rate is usually set in tiers, and the tiers are set by volume: the more units purchased under a contract, the higher the rebate on each one.
That structure favors size. A hospital system or a large multispecialty group moves enough units to reach the upper tiers. A busy independent allergy practice still buys like one practice. The medications are the same and the patients are the same. Only the purchasing power is different, and because a rebate is paid per unit, the gap between a low tier and a high one repeats on every syringe, every quarter.
A rebate is also paid after the fact. The practice buys at its usual price through its distributor, administers the drug, and the rebate comes back later, calculated on the units that qualify. It never lowers the invoice. It can only be paid on units that are reported and confirmed, which is why the quarterly report matters as much as the contract.
How the pool works
Medico counts the volume of every member practice together. The network reaches tiers no single practice would. Each member still earns its own tier’s rebate, plus a share of what the network’s higher tier adds.
“The pool lifts the rate; your units are still your own.”
Each practice is still paid for its own units. A practice that administers more earns more, and the pool’s tier lifts the rebate on every one of those units. It doesn’t change which patients you treat or which medication you prescribe.
The medications that count are the biologics your practice already buys and administers. When you join, you tell us which ones you stock, and we enroll them in the network’s contracts.
What you report each quarter
Each quarter follows the same three steps, in your portal.
- Your team reports the units it administered.
- Our team confirms them, and the quarter locks.
- Your share is paid, with a one-page statement.
You can type the units in or upload the utilization report from your own system. Our team reconciles the numbers with you before the quarter locks; once it locks, your counts price your rebate. Reporting units before the quarter locks covers the details.
What the statement shows
Every payment comes with a one-page statement that shows its math: each medication, the units you reported, the rebate on each, and the check date.
Quarterly rebate statementWhen a manufacturer revises an earlier quarter, the correction appears on its own line instead of disappearing into a total. Your statements stay in your portal, one for every quarter.
See your number first
Before you join, we can run your volumes through the same engine that pays our members, so you see your estimate first.
