$50 a month for basic health care? Concept coming to rural Oregon

OAKRIDGE, Ore. - Two enterpreneurs in their early 20s think they have a formula to provide medical care in rural Oakridge, Oregon, pop. 3,500.

Orchid Health offers subscription-based primary and preventative care for about $50 per month.

"In return they get unlimited visits to the clinic," Alexander said. "However, we also accept Medicare and Medicaid patients, so we're really tailoring the model to fit the rural market."

Co-founders Oliver Alexander and Orion Falvey say their plan will help control costs and improve patient access to medical professionals in Oakridge.

They are cutting overhead costs 40 percent at the clinic by not contracting with private insurance companies. "And so by removing a good portion of that paperwork burden for doctors," Falvey said, "we're allowing them to go back to focusing on providing care to their patients--and as a result we're able to recruit top providers."

The Orchild Health clinic is set to open in July.

Alexander and Falvey developed the plan as University of Oregon students through the Oregon Social Business Challenge in the fall of 2013.

They envision the Oakridge clinic as a pilot project which could offer an alternative means of delivering routine health care in rural areas.