How Augusta Health Generated $3 Million in Voucher Sales by Focusing on Self-Pay Patients
Augusta Health, a community hospital in Fishersville, Virginia, used
Tendo Marketplace to expand bundled self-pay offerings through MDsave—generating $3 million in voucher sales and increasing procedure volume by 700%.
By combining transparent pricing with employer outreach and consumer education, the health system drove significant revenue growth while improving access to care for uninsured and high-deductible patients.
About Augusta Health
Augusta Health averages:
55,000+ emergency visits annually
Nearly 10,000 admissions each year
400,000+ annual medical group clinic visits
475,000+ outpatient service visits
Serving central Virginia, the health system faced growing pressure to drive new volume—particularly among uninsured and out-of-network patients.
The Challenge: Driving Volume in a High-Deductible Market
Augusta Health needed a strategy to:
Increase patient volume within and beyond its existing catchment area
Attract out-of-network patients in a financially sustainable way
Support a region with a high concentration of self-pay and high-deductible patients
Without a bundled pricing solution, patients often delayed care due to cost uncertainty or insurance restrictions. For the hospital, this meant missed revenue opportunities and reduced utilization.
The Solution: Bundled, Prepaid Procedures Through Tendo Marketplace
Augusta Health partnered with
Tendo Marketplace to launch bundled, prepaid procedures available to patients through MDsave.
Using
MDsave, patients purchase bundled procedures at a single, all-inclusive price. Payments are made upfront, and
providers receive payment directly—reducing administrative burden and eliminating traditional collections delays.
The model enabled:
Transparent pricing for uninsured and underinsured patients
Faster and more predictable revenue for the health system
Simplified patient access to care
Results: 700% Volume Growth and $3M in Voucher Sales
After launching bundled self-pay procedures, Augusta Health implemented targeted outreach to self-pay and high-deductible patients.
As Kristi Lewis, Augusta Health Pre-visit Manager, explains: “We talk to them about high deductibles and how MDsave can help them better afford the care they need.”
The hospital also distributed employer-facing materials to promote MDsave’s bundled self-pay offerings on Tendo Marketplace. This expanded access for employees and reduced deferment of services, ultimately helping employers manage healthcare costs.
Revenue Growth
700% increase in voucher-driven volume (from $112,730 in 2016 to $715,199 in 2017)
$3 million in overall voucher sales through MDsave
Increased Service Utilization
The volume growth exceeded expectations and demonstrated strong demand for transparent, bundled self-pay care.
Supporting Patients During Insurance Gaps
In 2018, Augusta Health became temporarily out-of-network with Anthem for approximately six months.
“MDsave provided a great option for patients so they could still come to us for their service without having to worry about a surprise out-of-network bill afterwards.”
Without bundled self-pay options through Tendo Marketplace, many patients would have needed to travel more than an hour to receive care elsewhere.
In this way, the program acted as a safety net for both the health system and its patients.
Employer Engagement and Community Impact
Augusta Health continues expanding partnerships with local employers, especially where the health system is out of network.
In one example:
“One local employer even donated $10,000 worth of mammogram vouchers for patients in our area who qualified for financial assistance. That means 80 women were able to get mammograms who otherwise might not have been able to.”
Frequently Asked Questions
How can bundled self-pay procedures increase hospital volume?Bundled self-pay procedures reduce cost uncertainty, eliminate insurance delays, and attract uninsured or high-deductible patients. By offering transparent, prepaid pricing, hospitals can capture previously deferred or out-of-network demand.
What does a 700% increase in voucher sales mean?In this case, Augusta Health increased voucher-driven revenue from $112,730 to $715,199 within one year—representing a 700% increase in volume.
How do self-pay bundles help during out-of-network situations?When a hospital is out of network with an insurer, bundled self-pay options provide patients with predictable pricing and eliminate surprise out-of-network bills.
How does Tendo Marketplace support both consumers and employers?Tendo Marketplace enables hospitals to offer bundled, prepaid procedures to consumers via
MDsave while also supporting
employer strategies that reduce overall healthcare spend.
What types of services benefit most from bundled pricing?High-volume outpatient services such as imaging, lab work, diagnostics, and elective procedures often see strong adoption when offered at transparent, all-inclusive prices.
From Bundled Self-Pay procedures to Employer-Supported Access