US regional information networks predicted to grow

Tags: Information integration Interoperability iS Network Security US

18 Jan 2006

Forrester Research is predicting that 2006 will be the year that new regional information networks and organisations (RHIOs), that will enable clinicians to securely exchange patient medical records, will slowly begin to come on line in the US.

In a report on trends in US healthcare over the next 12 months, the research firm states that there are currently less than ten such regional information networks exchanging live data, and predicts than no more than ten more will start operation during the course of 2006.

RHIOs form a key element of the US Federal Government's ambitious 10-year programme to build a national information network that will allow clinicians to securely exchange patient medical information records, better co-ordinate care and reduce medical errors and costs. The ten-year national strategy envisages more than 100 RHIOs.

David Brailer, President Bush's health IT Tsar, has estimated that to provide every US citizen with electronic patient records will cost at least $100 billion. The potential gains, once the system is fully operational, are estimated to be up to $700bn.

To enable national coverage of electronic patient records and the building of RHIOs Forrester says "The industry must clear not only technical interoperability hurdles, but also solve thorny contractual agreements regarding funding, privacy and liability."

Another trend predicted for 2006 is that the security of personal health information is predicted will become a factor in US hospital's marketing to health consumers. Forrester says that a survey it conducted in 2005 for California HealthCare Foundation found that despite the tighter security practices that HIPAA (the 1996 Health Insurance Portability and Accountability Act) places on insurers and providers, "67% of US adults are still somewhat or very concerned about the privacy of "their personal medical records"."

The report says that as hospitals invest in electronic patient records they will begin to market themselves based on the "security-enhancing qualities of electronic media and processes over manual record keeping".

Another major trend predicted is in the automation and integration of back-end systems to banking systems of the major US health plan providers, such as Aetna, Cigna and UnitedHealthcare. This should streamline financial transactions and make life simpler for healthcare consumers.

A further big technology trend confidently predicted for the big health plans is "a scramble to retool legacy IT systems to meet demands for consumer-directed products". To achieve this Forrester says that health plans will "go gaga" for service-orientated architecture and deploy new consumer orientated tools as web services.

Turning to the US direct to consumer market in prescription drug advertising the report says that a growing proportion of pharma firms ad spend will continue to move from TV advertising to online developments. "Consumers will have more reasons to visit as drug makers provide valuable compliance resources on their websites that consumers can't get from other healthcare sources."

Readers Comments

Can UK suppliers benefit from it? :)

ZhongL@yahoo.com

18 Jan 06 17:48

It's the question concerning.

CfH suppliers and main contractors got solid experiences or lessons, whether through sweets or tears. This commercial experiences are being bought by 6.2 billion pounds tax payers' money!

Hence I wonder, (despite the final results of CfH), what's the point if UK suppliers cannot benefit from the tasty US and EU market. I reckon China and then India market will follow up.

Even more, I wish more and more UK healthcare integration professionals get involved in it in the coming years, instead of CSC/Accenture becomes the sole earner. :)