August 15, 2019

How Transfer Center Optimization can Maximize Fee-for-service and Value-based Revenue

Every healthcare organization is exploring ways to increase revenue and reduce costs. Taking drastic action, however, may not be necessary.


Instead, health systems could invest in a department they likely already have—their transfer center—and experience a significant increase to their contribution margin.


Transfer centers are often overlooked revenue generators in both fee-for-service and fee-for-value payment models, even though they can be a leading profit center for the health system when properly structured, managed and equipped.


In fact, an independent University of Utah study commissioned by our company found each patient transferred yields an average of $10,800 in contribution margin. In a fee-for-service model, transfer centers drive greater volume by keeping patients in-network and ensuring a quick, efficient process for referring hospitals and physicians, which results in more referrals from outside sources as well.