Frequently asked questions.
At CostCare, we understand that navigating service and maintenance contracts in the healthcare industry can be complex. That's why we've compiled answers to the most common questions about our process, cost-saving opportunities, and how we ensure transparency and security.
What is the goal of contract optimization with Contract Cost Care?
Many hospitals believe savings aren't possible, but our experience shows that significant savings can be achieved even with existing contracts. We analyze the contracts for hidden cost drivers and offer negotiated solutions to reduce costs.
What types of contracts can be analyzed and optimized?
We focus on service and maintenance contracts for large medical devices such as diagnostic systems, therapy systems, and high-value medical equipment.
How does the collaboration process work?
- Contract review under NDA.
- Analysis of contract terms and identification of savings potential.
- Creation of a report with recommendations.
- Optional negotiation with the manufacturer.
- Implementation of optimizations.
How is the contract analysis conducted?
Our analysis is based on a comprehensive market benchmarking database (TOZO), which allows us to compare contract terms with existing market standards and identify optimization opportunities.
How long does a contract analysis take?
The initial evaluation is usually completed within four weeks, depending on the complexity of the contract.
What commitments does the customer make?
- Standard Model: No long-term commitment.
- Subscription Model: Customers benefit from continuous optimization and long-term price advantages.
- Cost Coverage Model: Customers pay a fixed, individually negotiated fee, typically 20–30% lower than the manufacturer's offer.
What are the typical savings?
The average savings vary depending on contract type and manufacturer but generally range between 8–15% of current contract costs. In the Cost Coverage Model, savings of 20–30% are achieved.
How is Contract Cost Care compensated?
We work on a success-based model and receive a share of the actual savings achieved.
What happens if no savings are achieved?
Our experience shows that almost every contract has optimization potential. If no savings are possible, only the one-time analysis fee is charged under the Standard and Subscription Model — there are no additional costs.
Will manufacturer service levels remain the same?
Yes. Our goal is to maintain or even improve existing service levels without compromising quality.
Still have a question? Get in touch and we'll be glad to help.
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