Smarter Digits in Healthcare – January 9, 2017

21st century cures act

Smarter Digits in Healthcare – January 9, 2017

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$8 billion

Actually, over $8 billion was invested in over 500 digital healthcare companies in 2016, which includes infrastructure, consumer-driven health, patient engagement technologies, etc.  According to Startup-Health, this represents a 33% increase over 2015.  Certainly, there will be a shake as markets weigh which offerings have the wherewithal to be successful.  With more than 200 new investors entering the spaces, there will be hurt feelings soon enough.  Welcome to healthcare.


Kaiser Permanente announced recently that more than 110 million interactions occurred between Kaiser’s physicians or staff and patients took place using smartphones, videoconferencing and other health technology solutions.  That’s more than 50 percent of all interactions for 2015. That means Kaiser makes up somewhere around 10-20% of this supposed $40 billion telemedicine unicorn market.


Only 4 healthcare sub sectors out preformed the S&P 500 in 2016.  Just over half beat the S&P Healthcare Index’ sad performance of -7.1%.  While most of healthcare underperformed on the stock market, many were quite active in terms of M&A.  For instance, temp staffing, behavior health, outpatient rehab and outsourced services had another solid year.


According to AthenaHealth, no-show rates for doctors appointments drop by 4.4% when they are sent simple text messages.  That’s lower than email, 5.9%; by phone, 9.4%, and certainly by no message at all 10.5%.


A study has found that the Joint Replacement Bundled Payment Models should decrease cost by $5,577 per episode.  The study, published in JAMA Internal Medicine, followed 3,942 patients who received joint replacement surgery.  Most of the hospital savings came from implants and supplies and most of the post acute care savings came from decreased use of institutional care. Unfortunately, HHS nominee Rep. Tom Price, an orthopedic surgeon, is not a fan of bundled payment models.


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