Working Without Brokers in the NEMT Industry: Is It Possible?
Working Without Brokers in the NEMT Industry: Is It Possible?
There are many types of businesses in the non-emergency medical transportation (NEMT) industry. Some provide transportation services directly to patients and clients, while others offer such services to other companies, such as healthcare facilities.
Many transport providers rely on brokers, who act as intermediaries between NEMT companies and entities that need transportation services. Brokers typically contract with multiple NEMT providers to provide patients with the specific type of transport and other resources they need, such as gurneys, wheelchairs, walkers, and more.
In some cases, brokers also provide other services, such as dispatch and billing.
But is it possible for transport companies to work without brokers and remain competitive in the industry?
Can I Work Without Brokers in NEMT?
It’s a common question: can a transport provider work without brokers in the NEMT industry? The simple answer is yes, but it takes a lot of work.
In theory, a transport provider could function without brokers by marketing to those who need their services and booking direct clients. However, building and maintaining such relationships with enough clients requires a great deal of time and resources to build and maintain such relationships with enough clients to remain profitable for extended periods requires a great deal of time and resources.
It would also require the transport provider to have a robust infrastructure to manage administrative functions like scheduling, billing, and claims. This requires efficient scheduling and billing management software to complete these tasks accurately and in large volumes.
In practice, most transport providers choose to work with non-emergency medical transportation brokers to access a wide range of clients and focus their resources on providing quality transportation services. While working with a broker does add another level of complexity to the equation, it can also lead to increased efficiency and profitability for transport companies.
Ultimately, it’s easier to partner with NEMT brokers. They will provide clients, negotiate contracts, and manage business logistics.
In addition, brokers can provide valuable insight into the industry and help you make the best decisions for your business. They can also help you find new opportunities and growth for your company.
What are the NEMT Broker’s Rules?
There are rules and guidelines that NEMT brokers must follow to provide services to their clients. These are put in place to protect the consumer and ensure that the NEMT broker provides a high-quality service.
The rules and guidelines covering NEMT brokers can be found in the Code of Federal Regulations (CFR). Brokers can be fined or have their operating licenses revoked if they break these regulations.
These guidelines include the following:
- The establishment of a brokerage program must provide cost-effective non-emergency medical transport to those who need medical services but have no means of transportation.
- Brokers for non-emergency medical transportation are selected based on their experience, references, performance, qualifications, and costs.
- Brokers can review procedures and monitor benefits and complaints to ensure that the transport provider is timely, licensed, and meets all safety and security requirements.
- The broker should have a non-financial relationship with the NEMT provider and cannot provide transport as a subcontractor as outlined in the contract.
- The broker can only act as a NEMT provider if there is no other Medicaid transport provider except the non-governmental broker.
- The broker cannot receive any kind of monetary remuneration, gift, or rebate from the transport provider.
- The broker must provide the most appropriate and cost-effective NEMT transport to Medicaid beneficiaries.
How Much Do NEMT Brokers Receive?
Brokers are paid a commission for each transaction they facilitate. The exact amount of the commission depends on the type of transaction and the broker’s agreement with the company or agency.
Generally speaking, the broker’s commission is a percentage of the transaction value and ranges between 1% and 5%.
How to Get New Contracts With or Without a Broker
There are many ways to get new NEMT contracts. But first, you must consider your unique selling proposition and how to rise above the competition.
When you partner with a broker, they will help you find the clients and organizations that suit your services. They can facilitate the contracts from beginning to end and provide you with patients throughout your partnership.
You can also attract clients by ramping up your online advertising and marketing. Regularly updating your website, creating content that targets your niche, and creating effective marketing campaigns can attract the interest of private clients.
You can do all of these at once, and as long as you have the resources to fulfill all of your bookings and meet client expectations, your NEMT business is sure to grow quickly.
List of Major NEMT Brokers
If you plan to work with a broker, you have many choices. And choosing the right one is critical to the success of your NEMT business.
But with so many out there, how do you know which one is right for you?
There are a few things you should consider when selecting brokers for your NEMT business. First, you must make sure the broker is licensed and insured. This will protect your business in case of any legal problems.
Second, the broker must have extensive experience in the NEMT industry. An established broker knows all the ins and outs of medical transport and will be able to help you find new contracts and establish beneficial relationships with clients that require your specific services.
Some brokers that work with new carriers will also have a team of accomplished experts that can help those that are quite new in the industry.
You must also make sure your choice of broker is a good fit for your business’s specific services and needs. Depending on the size and scope of your NEMT business, you may need a broker who has connections with hospitals, clinics, laboratories, and other healthcare facilities.
Here are some of the biggest NEMT brokers in the country:
One of the largest brokers in the world, they work with government agencies and managed care operations (MCO). If you are looking for big corporate partnerships, this broker is an excellent option as they operate in many states.
MTM focuses on Medicaid beneficiaries and has partnered with more than 1,250 transport providers nationwide. Though they began in 1995 as NEMT providers, they have expanded their operations further in the healthcare industry.
Now part of MTM, Veyo is another brokerage company that operates in many states.
One of the country’s largest transport brokers, it began in 1998 with an ambulance management program. If you want to work with government agencies and MCOs, consider Access2Care as a potential broker.
This broker handles all forms of medical transport, including air transport. They provide international and national services.
How to Choose a Broker for Your NEMT Company
If you want a reliable broker, you need to choose a reputable one you can trust.
Here are some of the things you need to consider when choosing a broker for your business:
- Choose a broker that understands your target market in the NEMT industry. Knowing the rules that govern agencies, government offices, and healthcare facilities is often the broker’s best advantage.
- Select a broker that knows your area of expertise and the local industry. The broker should be familiar with your city or state’s market so they know which entities to connect with.
- Medical transportation brokers should be integrated with high-end NEMT software. The NEMT industry relies heavily on automation, GPS, and mobile technology, so your broker should know how to use management systems, NEMT billing and scheduling software, and tracking apps.
- The broker should have good communication skills. Effective communication is vital in any business, especially in brokering relationships between individual clients and transport companies.
- A good reputation, flexibility, and professionalism are all essential. These qualities make a broker more trustworthy and easy to work with for all parties involved in the transactions.
- Choose a broker that offers reasonable rates. Any business needs to make money, and often the broker with the best rates will find more transport providers, passengers, and clients working with them.
NEMT brokers work with transport providers, healthcare facilities, and government agencies to ensure that patients receive the best possible service.
Transport providers in the NEMT industry can certainly work without brokers. But partnering with one or more brokers makes it easy for transport businesses to build a network of organizations, individuals, and government agencies that will know their brand. Brokers also help transport providers navigate the complex world of NEMT regulations.
Working with a broker has many advantages, so it is well worth considering, even with lower rates than private bookings. Top-notch NEMT software by ISI Technology is integrated with all major national and regional brokers, our solution refines scheduling, routing, dispatching, and vehicle and driver management for transport businesses to maintain high efficiency and profitability. Book a demo today!