Report: Health IT Reducing Medical Spending Growth Rate | Healthcare Informatics Magazine | Health IT | Information Technology Skip to content Skip to navigation

Report: Health IT is Reducing the Medical Spending Growth Rate

June 12, 2015
by Gabriel Perna
| Reprints
Healthcare information technologies are leading to a drop in medical inflation, according to a report from PricewaterhouseCoopers' (PwC) Health Research Institute.
 
The Health Research Institute projected that U.S. medical inflation will dip to 6.5 percent in 2016, which would cap a ten-year trend of slowing employer medical cost-trend growth. Of the three main reasons why the medical growth rate has slowed, the adoption of virtual care technologies, such as telemedicine and remote monitoring systems, was listed as one. They said these technologies are more convenient and efficient than traditional care. 
 
Researchers also said the growth of health advisers, who help steer consumers to more efficient care and the Affordable Care Act's "Cadillac tax" on high-priced plans are the other two reasons for the slowed medical growth rate in 2016. 
 
However, despite this, healthcare cost inflation will still outpace the economy. One of the reasons is because of the growth of cyber-security breaches in the industry, forcing healthcare companies and organizations to step up protection measures.
 
 

Get the latest information on Health IT and attend other valuable sessions at this two-day Summit providing healthcare leaders with educational content, insightful debate and dialogue on the future of healthcare and technology.

Learn More

Topics

News

Geisinger, AstraZeneca Partner on Asthma App Suite

Geisinger has partnered with pharmaceutical company AstraZeneca to create a suite of products that integrate into the electronic health record and engage asthma patients and their providers in co-managing the disease.

Analysis: Healthcare Ransomware Attacks Decline in First Half of 2018

In the first half of 2018, ransomware events in major healthcare data breaches diminished substantially compared to the same time period last year, as cyber attackers move on to more profitable activities, such as cryptojacking, according to a new report form cybersecurity firm Cryptonite.

Dignity Health, UCSF Health Partner to Improve the Digital Patient Experience

Dignity Health and UCSF Health are collaborating to develop a digital engagement platform that officials believe will provide information and access to patients when and where they need it as they navigate primary and preventive care, as well as more acute or specialty care.

Report: Digital Health VC Funding Surges to Record $4.9 Billion in 2018

Global venture capital funding for digital health companies in the first half of 2018 was 22 percent higher year-over-year (YoY) with a record $4.9 billion raised in 383 deals compared to the $4 billion in 359 deals in the same time period last year, according to Mercom Capital Group’s latest report.

ONC Roundup: Senior Leadership Changes Spark Questions

The Office of the National Coordinator for Health IT (ONC) has continued to experience changes within its upper leadership, leading some folks to again ponder what the health IT agency’s role will be moving forward.

Media Report: Walmart Hires Former Humana Executive to Run Health Unit

Reigniting speculation that Walmart and insurer Humana are exploring ways to forge a closer partnership, Walmart Inc. has hired a Humana veteran to run its health care business, according to a report from Bloomberg.