Solving the Care Conundrum

Did you know that $8.3 trillion is spent globally each year on the provision of healthcare services?

By 2023 it is forecast to increase by a further $2 trillion. That’s an increase of 25% in 5 short years. For the USA this translates to $1 in every $5 of national output (GDP) being spent on healthcare.

So, what’s your preference: pay more taxes or accept huge cuts in services? Pretty stark, isn’t it, but that’s the reality currently facing much of the developed world. How on earth did we arrive at this point?

Much good has come from technological innovation, driving better preventative care and treatment, improved outcomes, even eradication of some diseases. Alas, this has been accompanied by vastly increased costs. Sophisticated medical equipment can be extremely expensive and the cost of drugs seems to rise inexorably.

Incredibly, the administrative infrastructure that has been built to support our modern healthcare systems now represents up to 17% of total spend. Yes, $1.4 trillion just to run the Beast. In the USA that means around $2,000 each year for every woman, man and child is spent just on administration. That’s money being directed away from giving care. Some might consider that scandalous.

The sheer number of institutions that have been established to manage healthcare means that inefficiency is rife, leading to delay, waste, duplication of service and, unfortunately, making fraudulent activity challenging to detect. ‘Broken’ is a word that comes to mind to describe the current state of play.

Enter Blockchain and Solve.Care. This is a project that sets out to disrupt healthcare payments and administration, employing Blockchain technology to drive efficiency, reduce costs and help make more money available for care itself. Solve.Care expects to be able to reduce costs by up to 70%. Please take a moment, dear Reader, to let this sink in. For the USA this would mean savings of $500 billion every year. We are not talking mere trifles here!

Clearly, there are challenges to be overcome before such a panacea can be brought to fruition. Institutions and especially governments are notoriously slow to adopt new technologies or systems. Some will be suspicious of Blockchain and may prefer to wait until other more adventurous souls have taken the plunge and validated both the technology and the claimed savings. Solve.Care is already well on the way to overcoming this hurdle, having recently signed up its first significant customer — Arizona Care Network.

Whatever the challenges or objections, the magnitude of potential savings offered by Solve.Care is so significant that no administrator can afford not to at least consider the proposition. It is, after all, your money and your health that we are discussing!

Solving the Care Conundrum was originally published in Data Driven Investor on Medium, where people are continuing the conversation by highlighting and responding to this story.