Objective
To evaluate the financial viability and scalability of pharmacist-led chronic disease management services using commercial payor Evaluation and Management (E/M) billing codes in a rural primary care setting.
Practice description
In June 2023, a clinical pharmacist was embedded into a physician-owned family medicine clinic in Idaho. The pharmacist practiced at approximately 0.25 full-time equivalent (FTE), managing diabetes and polypharmacy collaboratively with referring providers. Patients were referred directly by providers or identified through chart review. Current Procedural Terminology codes billed included 99212–99214 for commercial and Medicaid beneficiaries and chronic care management (CCM) code 99490 for Medicare beneficiaries. Payment for pharmacist claims first occurred in October 2024 and reimbursement data was evaluated through June 2025 (9 months). Hemoglobin A1c (HbA1c) improvement was evaluated over the entire study period (24 months).
Practice innovation
The model leveraged Idaho's independent prescribing authority for pharmacists. The pharmacist was independently credentialed with 6 commercial payors as well as Idaho Medicaid and followed standard E/M and CCM coding practices. Real-time data informed iterative service refinements.
Evaluation methods
Descriptive reimbursement data were extracted from the electronic health record and average reimbursement rates per visit were calculated. Break-even scenarios were modeled using Idaho-specific salary and benefit benchmarks. Different staffing models were evaluated.
Results
Average reimbursement per visit was $123.25. The break-even threshold (1.0 FTE, no support staff, 30% benefits) was 6 patients per 8-hour clinic day. At 1.0 FTE with support staff, sustainability required 8 patients per clinic day. To target an additional profit of $100,000 per year for a 1.0 FTE pharmacist with support staff, the threshold was 12 patients per clinic day. Over the entire evaluation period, the average HbA1c of patients seen by the pharmacist was reduced by 1.8% and patients with HbA1c value below 7% increased by 35%.
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