A Look at the Trends in Healthcare Payments Sixth Annual Report: 2015 June 22, 2016 1 2017 InstaMed. All rights reserved. v20160129
About the Presenter Jeff Lin Senior Vice President Product Management InstaMed 2 2017 InstaMed. All rights reserved.
Why We Publish Our Data 3 2017 InstaMed. All rights reserved.
Trends in Healthcare Payments Report Sixth Annual Report Looks at Trends Across All Healthcare Payments Providers, Payers and Consumers Quantitative and Qualitative Data 4 2017 InstaMed. All rights reserved.
What s the Data Telling Us? The Healthcare Payments Market Is Changing Fast Consumers Are Demanding Change in Healthcare Payments Too Much Paper Prevents Necessary Changes In Healthcare Lack of Digital Security Creates Urgency for Change 5 2017 InstaMed. All rights reserved.
The Healthcare Payments Market Is Changing Fast More Americans Have Access to Healthcare Than Ever Before By 2024, it is estimated that nearly $1 of every $5 will be spent on healthcare in the U.S Source: Centers for Medicare & Medicaid Services 6 2017 InstaMed. All rights reserved.
Consumer Payment Responsibility Continues to Increase Individual Insurance and High Deductible Health Plans 12.7 million consumers enrolled in a health plan through public and private exchanges during Open Enrollment 2016 As of January 2015, 19.7 million consumers are enrolled in HDHPs, representing a 22% increase for each of the last two years Sources: Centers for Medicare & Medicaid Services America s Health Insurance Plans 2015 7 2017 InstaMed. All rights reserved.
High Deductible Health Plans Are Only Part of the Story All Consumers Are Impacted The average health insurance premium for family coverage has increased by 83% since 2005 $2,713 $4,955 2005 2015 The average deductible for all covered workers has risen 255% since 2006 $303 $646 $1,077 2006 2010 2015 Source: Kaiser Family Foundation 8 2017 InstaMed. All rights reserved.
Digital is Changing Economies and Industries 1991 Today 9 2017 InstaMed. All rights reserved.
Digital is Changing Economies and Industries 80% of consumers are more likely to recommend a brand that offers a simpler experience 45% of U.S. adults own a tablet, compared to 4% in 2010 Any U.S. business needs to manage 6 channels Source: Accenture 10 2017 InstaMed. All rights reserved.
Healthcare is Not Exempt From These Changes 18% of all online payments were made on a mobile device in 2015 64% of consumers are interested in Apple Pay, Samsung Pay or Android Pay to make healthcare payments 65% of consumers want to pay their health plan premiums online Source: Trends in Healthcare Payments Sixth Annual Report: 2015 11 2017 InstaMed. All rights reserved.
Consumers Are Driving Change in Healthcare Payments Consumer Expectations Have Been Set Leaders Across Industries Are Influencing Consumer Preferences Leaders changing the consumer experience and consumer perception 12 2017 InstaMed. All rights reserved.
Consumers Are Bringing These Expectations to Healthcare What Consumers Want 72% of consumers prefer to pay with an electronic payment method, including payment cards 91% of consumers want to know their payment responsibility upfront 91 % 57% of consumers prefer the option to schedule automatic deductions for their recurring premium payments Source: Trends in Healthcare Payments Sixth Annual Report: 2015 13 2017 InstaMed. All rights reserved.
Consumers Are Bringing These Expectations to Healthcare What Healthcare Delivers Today The percentage of paper bills vs. electronic bills is almost double in medical bills vs. all other consumer bills 76% of consumers said that they were confused by their healthcare bills The majority of payers offering individual insurance indicate check as their primary payment method Sources: Aite Trends in Healthcare Payments Sixth Annual Report: 2015 14 2017 InstaMed. All rights reserved.
There s Still Too Much Paper in Healthcare Contributing to Excess Waste If we lined up all the paper statements providers mailed to patients last year, we could circle the globe six times! Sources: U.S. Department of Health and Human Services MGMA 15 2017 InstaMed. All rights reserved.
Expectation vs. Reality: Providers and Patients 87% of consumers received a paper medical bill from their providers in 2015 24% of consumers actually want to use checks to make healthcare payments Source: Trends in Healthcare Payments Sixth Annual Report: 2015 16 2017 InstaMed. All rights reserved.
Expectation vs. Reality: Payers and Providers 84% prefer EFT 89% receive paper checks Source: Trends in Healthcare Payments Sixth Annual Report: 2015 17 2017 InstaMed. All rights reserved.
Security is Top of Mind In the News In the last year alone, more than 50% of U.S. hospitals are estimated to have been victim to ransomware with many unsure if they had been attacked Source: Healthcare IT News and HIMSS Analytics Quick HIT Survey 18 2017 InstaMed. All rights reserved.
The Threat Is Real Healthcare Organizations Are More Vulnerable to Attacks and Fraud 8 of the 10 largest hacks into any type of healthcare organization happened in 2015 The largest number of breaches took place within the Health Services subsector, which comprised 39% of all breaches in the year 1 in 3 Americans have been victim of a healthcare data breach Sources: U.S. Department of Health and Human Services Symantec Internet Security Threat Report Bitglass 2016 Healthcare Breach Report 19 2017 InstaMed. All rights reserved.
Security Is Top of Mind Financial Regulations Are Evolving Quickly EMV fraud liability shift October 2015 Since October 1, 2015, merchants are liable for any fraudulent transaction using an EMV card at the point of sale that wasn t authenticated with a pin Updates to the PCI Standards PCI version 3.0+ went into effect in January 2014 Contains 20 evolving requirements from the previous version, including regarding penetration testing and vendor relationships 20 2017 InstaMed. All rights reserved.
Conclusions There Is a Dramatic Shift in Healthcare Cost Sharing A New, Critical Stakeholder Has Emerged: The Consumer Paper Is Quickly Becoming Unsustainable Healthcare Is More Vulnerable to Attacks and Fraud 21 2017 InstaMed. All rights reserved.
What Do We Do With These Trends? 22 2017 InstaMed. All rights reserved.
Download the Report! The report is available to the public free of charge at www.instamed.com/trends 23 2017 InstaMed. All rights reserved.
Questions? The report is available to the public free of charge at www.instamed.com/trends Contact: info@instamed.com 24 2017 InstaMed. All rights reserved.