New Study by HealthEdge and Survata Finds Health Insurers’ Lack of Automation and Reluctance to Innovate Impairs Organizational Efficiency
Two thirds of payer executives identify poor technology as holding back operational efficiency; only 16 percent would invest potential savings in innovation
Burlington, MA, October 16, 2018 —HealthEdge®, provider of the only integrated financial, administrative and clinical platform for health insurers, today released the results of a new study of health insurance executives that found that insurers overwhelmingly see outdated technology and a lack of automation as key challenges holding back operational efficiency and driving up costs, preventing them from tackling key business priorities. The executive summary and full report of the survey results can be viewed here: http://bit.ly/2NI2foG.
HealthEdge, in partnership with market research firm Survata, asked more than 100 health insurance executives to identify the challenges holding back operational efficiency at their organizations and the greatest opportunities to improve in this area.
The study found:
- 66 percent felt that a lack of automation or ineffective technology was the greatest challenge creating inefficiency – more than other challenges such as upgrading workforces (21 percent) and improving inefficient processes (12 percent).
- 53 percent felt automation and improved technology innovation was the most important opportunity to improve efficiency and lower costs.
- 26 percent felt they should take immediate action on integrating more automation. Another 26 percent felt they should take immediate action to modernize technology.
- 37 percent of respondents, representing the most often selected response, when asked where they would invest any cost savings from improved operational efficiencies, reported that they would apply savings directly to their organization’s bottom line.
“This study shows that many health insurance executives are under pressure to improve margins and are looking to invest in strategic initiatives that grow their businesses,” said Steve Krupa, CEO of HealthEdge. “However, in many cases outdated legacy technology is hindering operational efficiency and undermining their strategic efforts. And while they recognize that modern technology solutions can bring with them marked improvements in operational performance, there are mixed results regarding their perceived commitment to addressing the problem. This presents a clear opportunity for health insurance executives to embrace the benefits of next generation technology.”
This survey is the latest in the series of HealthEdge’s Voice of the Market studies, which poll health insurance executives and consumers on various hot topics related to health insurance. To download this report, as well as HealthEdge’s other Voice of the Market survey reports, please visit www.healthedge.com/insights. Survata interviewed 101 online respondents between July 12, 2018 and July 17, 2018. For further information about the survey methodology, please visit www.survata.com.
HealthEdge® provides modern, disruptive healthcare IT solutions that health insurers use to leverage new business models, improve outcomes, drastically reduce administrative costs and connect everyone in the healthcare delivery cycle. Our next-generation enterprise solution suite, HealthRules®, is built on modern, patented technology and is delivered to customers via the HealthEdge Cloud or onsite deployment. An award-winning company, HealthEdge empowers health insurers to capitalize on the innovations, challenges and opportunities that await in the new healthcare economy. For more information, visit www.healthedge.com.