October 3, 2025 • min read
The cost of digital physical therapy vs traditional PT: an employer's guide
Written by

Sword Editorial Team
Experts in pain, movement, and digital health

Musculoskeletal (MSK) conditions are one of the most costly categories in employer-sponsored healthcare plans, often topping claims lists year after year. Physical therapy is a recommended first-line treatment for most MSK issues, but not all physical therapy is created equal.
As healthcare costs continue to rise, employers are under more and more pressure to lower healthcare spend while still improving healthcare outcomes and satisfaction levels for their employees. The balancing act can feel like a huge challenge, but thankfully more innovative and effective alternatives to traditional healthcare are emerging to solve this problem.
Specifically, for MSK healthcare, the delivery model of physical therapy makes a major difference. This guide breaks down the true cost of traditional physical therapy in comparison with the costs of digital PT. You will get an understanding of what to expect and how to design an MSK plan to significantly improve both healthcare outcomes and ROI.
Traditional physical therapy: what employers typically pay
In-person physical therapy comes with a wide cost range, depending on location, provider, and plan structure:
- Initial evaluation: $150–$2251
- Follow-up sessions: $100–$150 each1
- Typical episode of care: 8–12 visits, totaling $1,200–$2,500 per case2
Employers typically cover 70% to 80% (or sometimes up to 100%) of these costs. But these sessions often happen during work hours, requiring employees to take time off or miss shifts. Repeated appointments create friction, making it harder for people to attend and complete care.3
What’s more, traditional PT has a high dropout rate. According to APTQI, more than 50% of members stop attending after just four sessions. That leads to incomplete recovery and recurring claims, which drives up total cost of care.3
Indirect costs: productivity and downstream impact
Incomplete or delayed MSK treatment doesn’t just increase medical claims. It drains productivity, too. Pain interferes with focus, increases absenteeism, and can lead to more short-term disability claims.
According to Sword Health data, untreated MSK conditions cost employers an average of $2,916 per member, per year in lost productivity.4 Employees struggling with pain may disengage, work slower, or need more time off. In manual or safety-critical roles, this can also raise injury risk.
Without effective early treatment, many employees progress to high-cost interventions:
- MRI scans: $500–$1,5005
- Corticosteroid injections: $423 on average6
- Orthopedic specialist visit: $4196
- Surgery: $22,890 average for lumbar fusion procedures8
Many of these costs are avoidable with timely, conservative care.
Why traditional PT makes program adherence harder
The problem isn’t just cost. Traditional PT presents access and engagement challenges:
- Long wait times: The average wait for orthopedic consults is 17+ days9
- Inconvenience: Sessions often conflict with work schedules
- Transportation barriers: Especially in rural or underserved communities
- Low adherence: 50–70% dropout before completing care3
These barriers mean fewer employees complete their care plans, fewer achieve full recovery, and more go on to require expensive follow-up treatment. Digital physical therapy solutions like Sword Thrive, provide a cost-effective alternative to in-person care. Here’s how they compare:
Factor | Traditional PT | Thrive digital PT |
---|---|---|
Pricing model | fee-for-service | outcomes-based (tied to member results) |
Cost/member | escalate over time with each session | capped at $1000/member |
Time off work | travel to clinic and sessions in working hours | none (sessions can be completed any time) |
Session limits | often restricted | unlimited |
Convenience | fixed appointments, often need referrals | on-demand 24/7 access from home |
The digital alternative: how Sword transforms the ROI equation
Thrive is a physical pain care solution that combines clinical expertise and AI technology to deliver superior outcomes and reduce millions in healthcare costs.
Thrive helps your people address pain anywhere in their body with a personalized program designed by a dedicated Doctor of Physical Therapy. Members can work on their custom care plan from any place, at any time. All they need is the Thrive Pad, a device that guides sessions and provides real-time form correction. With expert guidance and tailored resources, members stay supported and empowered every step of their recovery.

Here’s how Sword outperforms traditional PT:
- 81% program completion10
- $3,177 in average savings per member, per year4
- 4.4x ROI for high-risk members when using Sword Predict to identify and engage in proactive care11
Digital PT improves ROI by increasing engagement, lowering total episode costs, and preventing downstream interventions like surgery, injections, and ER visits.
Unlike traditional fee-for-service models that bill per visit regardless of result, Sword uses an outcome-based pricing model.
That means employers only pay when members achieve clinically significant results. Member health outcomes are closely tracked as this model ensures you invest in care that delivers real, measurable value.
More accessible care increases equity and engagement
Access is often overlooked when evaluating PT vendors, but it’s a critical driver of outcomes. Many workers, especially in shift-based jobs, rural areas, or underserved communities, struggle to get to a clinic. Sword solves this with:
- Care available 24/7: 42% of sessions happen outside business hours4
- High satisfaction: Net Promoter Score of 88+ across member cohorts4
- Equity of access: 27% of members live in high-SDI zip codes4
When more people can access care easily, more people complete their plans and recover. That’s what turns into measurable savings for employers.
Get the industry's highest ROI rate
$3,177 savings per member, per year
Independent validation shows Sword reduces MSK costs by $3,177 per member annually
3.2x industry-leading ROI
Sword's delivers average MSK healthcare savings of over 3x
50% reduction in costly surgeries
Sword halves the number of costly MSK surgeries and related claims
39% fewer workdays lost
Sword members report significantly fewer absences, reducing productivity losses
Evaluate PT vendors with these performance indicators:
- Engagement and completion rate
- Cost per successful recovery
- Avoidance of advanced interventions (surgery, imaging)
- Productivity impact
- Member satisfaction and equity of access
Sword’s platform is built to optimize each of these areas. From AI-powered triage to personalized care plans, every feature is designed to help more employees recover faster and avoid preventable spend.
Prevent chronic MSK conditions with digital PT
The longer MSK issues go untreated, the more expensive they become. Easy access to 24/7 digital PT reduces long-term costs, opioid reliance, and surgery risk.
One study showed that initiating physical therapy within 3 days of low back pain onset reduces total cost of care by up to 54% compared to those who waited more than four weeks.13
Sword enables rapid onboarding and early intervention so more people start care before pain becomes a long-term problem.
The physical therapy delivery model you choose directly impacts your cost trends. With traditional PT, employers often pay more for incomplete care. Digital-first models like Sword flip the equation, delivering better results, faster recovery, and lower total spend.
Ready to rethink your MSK strategy? Set up a call with a Sword expert to see how digital PT can slash your MSK costs and free your people from pain.
Start saving $3,177 per member per year
Slash MSK costs and get the industry’s top validated ROI of 3.2:1.
Footnotes
GoodRx Health. How much does physical therapy cost? 2024. Available at: https://www.goodrx.com/conditions/general/how-much-does-physical-therapy-cost
Sword Health. MSK Money Pit Report. 2024. Available at: https://swordhealth.com/insights/msk-money-pit-report
Alliance for Physical Therapy Quality and Innovation (APTQI). Study on physical therapy adherence. 2018. Available at: https://www.aptqi.com/resources
Sword Health. ROI Report. 2025. Available at: https://swordhealth.com/insights/gated-reports/sword-roi
American College of Radiology. Medical imaging costs: MRI scan cost guide. 2023. Available at: https://www.acr.org
Shanthanna H, et al. Cost analysis of corticosteroid injections for musculoskeletal pain. Pain Physician. 2014;17(5):E643–E654. PMID: 25247897
Healthcare Bluebook. Orthopedic specialist visit cost estimates. 2024. Available at: https://www.healthcarebluebook.com
Healthcare Cost and Utilization Project (HCUP). Statistical Brief #210: Characteristics of inpatient stays for knee and hip replacements among adults aged 45 and over, 2009–2014. Agency for Healthcare Research and Quality; 2016. Available at: https://hcup-us.ahrq.gov/reports/statbriefs/sb210-Knee-Hip-Replacements.jsp
American Academy of Orthopaedic Surgeons. Average wait times for orthopedic appointments. 2023. Available at: https://aaos.org
Bettger JP, et al. High-intensity digital physical therapy: engagement and clinical outcomes. npj Digital Medicine. 2023;6:121. doi:10.1038/s41746-023-00870-3
Sword Health. Predict ROI Report. 2024. Available at: https://swordhealth.com/insights/gated-reports/sword-predict-roi
Alami S, et al. Impact of digital MSK care on depression and anxiety. J Pain Res. 2022;15:53–66. doi:10.2147/JPR.S343308
Liu X, et al. Early physical therapy vs delayed care for low back pain: cost and utilization outcomes. Physical Therapy Journal. 2017;97(6):530–539. doi:10.1093/ptj/pzx033
Cottrell MA, et al. Impact of digital physical therapy on productivity. Musculoskeletal Science & Practice. 2023;63:102709. doi:10.1016/j.msksp.2022.102709