Hospitals and medical clinics, faced with tighter reimbursement from insurers, are looking for new ways to make money, and retail is one of them.

“Retail medicine” is a term for any health care related product or service that is not covered by insurance, from aromatherapy oils to acupuncture and massage. Hospitals and medical clinics in the Milwaukee area and throughout the country are expanding their offerings to include a variety of products, from wigs and scarves for cancer patients to specialty cosmetics.

The trend is a way for hospitals to increase revenue from sources other than insurance and government health plans and to expand care outside the hospital, said Gary Paquin, executive vice president of The Paquin Healthcare Company, a health care retail consultant firm based in Celebration, Fla.

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Tony Paquin has been nominated to the final ballot of this years 100 Most Powerful People in Healthcare by Modern Healthcare Magazine. Just under 56,000 nominations were received from April 5 through May 7, and the ballot of 300 candidates is based on those nominations.

Below is a short excerpt from Paquin Healthcare’s CEO Tony Paquin:


One of the reasons Americans have become consumers is that those who Pay and who Provide healthcare have changed, and patients have been forced to adapt. Even if you chose to be only a patient, the modern healthcare industry has virtually eliminated that option.


In prior generations, people needing healthcare were strictly seen as Patients. Doctors prescribed medication, hospitals provided care, and insurance companies paid the bills. Today, however, with the shift towards HSA, co-pays, uninsured and under insureds, people are also Payors, constantly paying for their own healthcare when the Payor term once referred only to insurance companies, Medicare and Medicaid. Every time you submit a co-pay you’re a Payor, and with each passing year consumers are slowly becoming responsible for more of the traditional Payor’s responsibility.