EO Care Identifies Potential Cost Savings for Medical Cannabis

Imminent Rescheduling Opens Up New Market

Spotlight Family Office Group’s introduction of EO Care, the market leader of clinically guided cannabis care, is timely.

Momentum is building for the Drug Enforcement Agency to reclassify cannabis from a Schedule I substance, reserved for the most dangerous controlled drugs including heroin, to a Schedule III substance, drugs with a moderate to low potential for physical and psychological dependence, such as ketamine, testosterone, and Tylenol with codeine.

When cannabis becomes a Schedule III drug, it will lead to greater integration of medical cannabis into mainstream medicine and more clinical research to show scientific evidence of the medical benefits of cannabis.

“Rescheduling cannabis also brings another benefit that is often overlooked – potential cost savings,” said Bill Van Faasen, board director of EO Care and former Chair and CEO of Blue Cross Blue Shield of Massachusetts. “These reduced costs would benefit patients, employers and health plans.”

Drawing from peer-reviewed academic research and validation from experienced clinicians, EO Care developed a cost model that showed conservative estimates suggesting a 2 – 5% reduction in overall direct medical and prescription drug expenses, depending on the population and disease incidence rates. This model was validated by a renowned actuarial firm, starting with the cost savings associated with cancer care.

According to Blake Zenger, advisor to EO Care and former CIO of Equity Healthcare/Principal Blackstone, “The study shows that cost savings could come from a variety of sources both directly and indirectly. These savings could open a new avenue of relief to seniors and cancer patients as well as employers and health plans.” 

The research findings in EO Care’s report indicate cost savings are attributable to various factors:

• Medication Costs: EO Care helps mitigate expenses associated with high-priced and potentially dangerous medications like Oxycodone for pain and Zofran for nausea/loss of appetite.
• Reduced Emergency Room Visits and Readmissions: Managed cannabis treatment has proven effective in decreasing ER visits and hospital readmissions, particularly for issues such as dehydration during chemotherapy.
• Alleviation of Opioid Side-Effects: EO Care contributes to fewer and less severe opioid-related adverse effects.
• Sleep Disorders and Anxiety: Overall medical expenses for individuals with sleep disorders and anxiety are substantially higher than patients without these conditions.  Appropriately administered cannabis can alleviate symptoms, thereby lowering medical expenses

EO Care’s versatile model is tailored for healthcare providers, employers, patient support groups, and health plans seeking to integrate cannabis care seamlessly, starting with those dealing with the effects of cancer and its treatment. Backed by major family offices, healthcare investors, and professional athletes, EO Care represents a promising avenue for enhancing patient outcomes and realizing cost savings.

To learn more about EO Care please click here.