| BUSINESSWEEK ONLINE : JANUARY 10, 2000 ISSUE | ||||||||
| ||||||||
 | ||||||||
| INDUSTRY OUTLOOK 2000 -- LIFE SCIENCES
Can the Net Give Health Care New Vigor? The health-care industry in America today is a $1.2 trillion industry that's a hodgepodge of outdated hardware and software. For all the high-tech gear in hospitals, the industry has been slow to adopt the latest information technology that could speed some decision-making, not to mention painfully slow paperwork processing. But that may soon change. In preparing for the health-care section of Industry Outlook 2000, New York-based Staff Editor Ellen Licking interviewed Michael J. Cardillo, president of Aetna U.S. Healthcare, about the import role the Internet will play in health care's future. Here are edited excerpts of their conversation: Q: How can the Internet transform health care? A: When you look at the health-care industry, one of the single most important changes will be the Internet and the implementation of information technology. The Internet, and e-health programs, can have significant impacts on both quality of care and the cost of care. The December, 1999, Institute of Medicine report on health care highlighted an important fact that is often forgotten -- the enormous importance of communicating medical information accurately. What the doctor writes down is interpreted in terms of prescriptions or type of care. What if those notes are misread? With the Internet, that process can be completely automated so that notes and prescriptions are automatically downloaded into printed words on a computer screen. Medical costs are also on the rise. We can cut those costs if we use the Internet to improve the efficiency of administration. That should have a moderating impact on premiums. Q: How do you envision using the Internet at Aetna U.S. Healthcare? A: We truly believe we can help providers and members better manage their health-care needs using secure Internet-based programs. For instance, in the future when a member visits the doctor, he or she might swipe a card that would automatically show the office staff the member's eligibility, patient information, etc. When the visit is over, the doctor would send the claim through the Internet and receive reimbursement through a program called E-pay the next day. An electronic bill would be sent to the employer, who would also pay via the Internet. Q: How difficult will it be for Aetna U.S. Healthcare to make the transition from offline to online? A: The changes needed are quite dramatic, but they will happen in a short time frame. In the next two years, e-health will be a reality. The technology is there. It simply has to be implemented. I think we are fortunate that Aetna U.S. Healthcare already has a good foundation in some of the things that are necessary to establish an e-health program. For instance, EZenroll allows people to enroll online, and E-pay makes electronic claims possible [for doctors]. We have developed and implemented EZlink, an integrated program that can tie benefits and payroll together for our customers, all of which will be handled electronically. Also, InteliHealth, one of the best medical Web sites for consumers, is our subsidiary. Q: Do you think it will be tough to convince hospitals and physicians to implement the new technology? A: It is true that health care is far, far from being a leader in automation and the use of technology. Even a year ago, trying to automate a doctor's office was difficult. The change in office practice and cash outlay required met with resistance. But now, many of those challenges to connectivity have been eliminated, and the costs to do it have been reduced. Because of the low cost of engaging in the Internet, I have been encouraged by the increase in the number of physicians willing to join in. Q: Will the Internet improve your relationship with your providers and member patients? A: Definitely. E-health is inherently a consumer-centric model, and it's clear that our members want the ability to "self-serve" for information. Treatment discussions are totally different than they were five years ago. Members now log on to one of the many health Web sites for information about an illness and bring that with them when they visit their providers. Patients are much better informed -- they are really active consumers not just patients. With the Internet, we can go a long way to eliminating the "hassle factor" for our clients and our providers. We are currently pilot-testing a password-protected Web site for participating providers, which will allow them to check eligibility, get claims status, among other things in real time. By Ellen Licking in New York _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ BACK TO TOP |
|  |
 | |
RELATED ITEMS Health Care ONLINE ORIGINAL: Can the Net Give Health Care New Vigor? INTERACT E-Mail to Business Week Online | |||
