How does GraceWell build reserves for the eligible expenses of the membership?
Since GraceWell is not insurance, it does not have reserves.
GraceWell uses a structure called Distributive Reserving. This is where each member opens an individual bank account called a Share Account, for the specific use of paying medical bills.
Their Monthly Share Amounts go into their Share Account until eligible medical bills need to be paid. At that time, GraceWell facilitates the moving of money from their Share Account into the Share Account of the member who has an eligible medical bill, and a check is sent directly to the provider for payment.