Free Market Facts

These facts have been collected and provided by the Free Market Medical Association (FMMA) to inform and educate employers and the public about the free market system. For more information or to ask questions about mis-information in mainstream messages about healthcare, visit


  • The free market movement in healthcare is vital to fixing the problems with our country’s current healthcare delivery system.
  • Transparency provides self-funded employers and individual patients with the information and the incentive to choose healthcare providers based on value, which includes price and quality.
  • Our society are inundated with media, advertising, and hype that incorrectly implies that high quality healthcare is expensive. The opposite is true. The best outcomes are found at lower cost facilities due to efficiency.
  • The free market providers involved in this movement set one price for a procedure, available to all patients. This transparency drives quality, because the providers have to be more efficient.
  • Many free market providers offer a warranty against complications.
  • When providers offer bundled, transparent pricing, they are able to set their own price, get paid in full, without having to file complicated claims, deal with insurance paperwork, or chase accounts receivable.
  • Independent physicians are able to stay independent and work for their patients. There is no conflict of interest between patient needs, hospital employer contracts/quotas, or insurance company rules.
  • Many cash pay patients and patients with high deductible health plans find it far cheaper to seek out a free market provider, even if it involves traveling.
  • Self-Funded employers are partnering with free market providers to offer low cost, high quality benefits.
  • For a self-funded employer, spending claims dollars only on reasonable expenses is part of their fiduciary duty under ERISA.
  • Free market providers cost up to 80% less than “network allowables” with higher quality and better outcomes. Networks and carriers are incentivized when claims costs are high due to their revenue streams. Removing these valueless third parties drives down costs.
  • Providers with posted bundled pricing compete with each other on price and quality to gain more patients. The traditional system encourages poorer outcomes as more care equals more reimbursement.
  • Many employers are incorporating these providers into their plans and waiving ALL out of pocket costs for employees.
  • The Kempton Group, the TPA who invented combining free market facilities and providers with self-funded employers, reports that clients have saved more than $32 MILLION since 2012 (based on 30,000 employee lives). This program has saved employees hundreds of thousands of dollars in deductibles and coinsurance.
  • The State of Oklahoma is projected to save $100 or 200 million a year. State employees could save up to $30 million in out-of-pocket.
  • Oklahoma County has saved $1.7 million in health care costs in the first year. County employees saved $250,000 in out-of-pocket expense.