Many healthcare systems want to become more efficient and they are moving towards outcome-based pricing which requires innovation. This consists of shifting the entire financial basis made of complex institutions which currently prepare, perform and complete traditional transactions.
Outcome-based pricing essentially creates healthcare payment systems linked to the quality of care, the value of services and their outcome and not only to their costs. These payments methods would be introduced to provide favorable effects in the industry.
The administrative burden including:
- manual data input from the healthcare service provider
- manual processing of agreements, for example between groups of patients and their services providers,
creates space for seamless contracting and smart contracting between the parties. These contracts support an automated invoicing system without the admin costs and based on value-based healthcare which relies on a blockchain foundation. Blockchain allows same admin operations regardless of the system complexity. For example, when adding conditions to the contracts, the administrative burden stays the same and it’s done automatically saving precious time.
The creation, development, and use of the blockchain platform to support value-based healthcare services help both those which are paid or partially paid by the patients and those services paid by the government.
In the former case, the blockchain solution provides information on the effective treatments that cure and allow insurers, providers, manufacturers on one side and patients on the other to share the costs for an expensive treatment that works using a technology assessment process. In the latter case, when most healthcare services are paid by the government, blockchain provides support and assessment for new therapies which have not become yet the mainstream and not accepted yet by the specific healthcare community, and could be used by those patients willing to pay in exchange for their cure for the new services which have proved effective but rejected solely based on the costs.
Since the health provider companies, as in the US and the health organizations in Canada start feeling the market pressure to promote effective qualitatively and cost-effective treatments, the need for blockchain platform to achieve these goals becomes not only obvious but vital and high-priority.