All That and a Bag of Chips
Walk-in clinics in retail outlets and drugstores like CVS, Duane Reade, and Wal-Mart continue to grow in prevalence, with people flocking to them because they tend to be cost-effective, convenient, no appointment necessary, and many have wait times of less than 15 minutes.
Retailers got more aggressive about staking their claim in the fast-growing business last July when CVS Corp., the largest drugstore chain in the country, acquired Minneapolis-based MinuteClinic, the pioneer and largest provider of such retail-based health clinics in the U.S. MinuteClinic had already grown from 19 clinics in 2 states to 83 clinics in 10 states in just one year. With 175 clinics in 20 states, CVS broke new ground last week in Chicago, opening 5 clinics, the first of their kind in the area, with plans for 30 more in the next year. CVS has also asked Massachusetts health officials for approval to open the first of 20 to 30 planned MinuteClinics in Boston-area stores. CVS is in negotiations with Blue Cross and Blue Shield of Massachusetts, Harvard Pilgrim Health Care, and Tufts Health Plan to cover their members' visits.
Other retailers are also expanding. Wal-Mart had plans to expand their 12 existing clinics to include another 50 by end-of-year 2006. Wal-Mart has allowed several companies to run their clinics. One of them is RediClinic, run by InterFit, a private company backed by AOL founder Steve Case. InterFit has plans to add another 500 clinics by 2009. The other big competitor is Take Care, which runs 16 clinics in Rite Aid, Osco, and Walgreens and has plans to open 1,400 clinics by the end of 2008.
The clinics are typically staffed by certified nurse practitioners and physician assistants and can offer treatments at a fraction of the cost for the same treatment provided in the average visit to a doctor or at the emergency room. Patients are understandably enthusiastic.
Physicians, however, aren't embracing the retail clinics. In June 2006, the American Academy of Family Physicians, stated that they don't endorse any particular retail health-clinic business model or company, reiterating that the clinics can only complement the work of family doctors and other primary-care physicians. The organization also recommended that its member physicians adopt a system of "open access" scheduling and provide same-day appointments to keep patients happier and healthier and state medical societies are pushing legislation that would regulate retail clinic operations and marketing.
In Massachusetts, although there has been no organized opposition, yet, health officials are moving cautiously. Concerns range from a CVS request to waive some medical clinic certification requirements, to disrupting existing patient and referral relationships, to the potential financial strain that may arise if the MinuteClinics siphon off the easier cases to leave only the more complex, and more expensive cases, to existing physician practices.■
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