FROM THE FOUNDATION

All Over the Map

Newly updated to include breast cancer, prostate cancer, and spine procedures, this CHCF-sponsored research shows that practice patterns vary dramatically from place to place.

Medi-Cal Transforms

Medi-Cal is the main source of health insurance for one in five Californians. An updated report gives an overview of the program's key features, describes how the program is evolving, and examines the challenges ahead.

Obama Care in the Second Term

CHCF is a long-time sponsor of the UC Irvine Forecast Conference. A webcast of this year's conference on health policy in President Obama's second term is now available.

Telehealth

Thursday, June 21, 2012

Spending on Health IT To Outpace Overall Health Care Spending

Spending on health IT and health care telecommunications is expected to rise at a faster annual growth rate than overall health care spending, according to a report by Insight Research, CMIO reports.

Findings

The report estimated that spending on health IT and health telecommunications will increase at a compound annual growth rate of 9.7% over the next five years, while overall health care spending will increase at a compound annual growth rate of 6.4% during that time.

The report predicted that spending on health IT and health telecommunications will increase from a $9.1 billion segment of the health care industry to a $14.4 billion segment over the next five years.

Insight in a statement said, "Much of the high costs of the current (health care) system are related to the proximity of patient and provider, as well as to the archaic administrative systems used to manage records and exchange information," adding, "Telecommunications can bridge these proximity and system gaps."

Additional Predictions

The report predicted that:

  • Health care providers increasingly will rely on outside service firms to connect with other clinicians, link existing networks and build cloud-based data center platforms;
  • Health IT innovations will prompt new collaborations among health care providers;
  • Telehealth tools will allow health care providers to treat patients in remote areas; and
  • Patient monitoring tools that operate over wireless networks will allow health care providers to identify when patients require medical interventions (Pearson, CMIO, 6/20).



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