Over the years as an HMO executive and later founding a disease management and Healthcare IT company, I have analyzed a lot of medical claims and quality data. One of the largest was an analysis of a State Medicaid program with about 675,000 beneficiary lives with two years of inpatient, outpatient and pharmacy claims. The pharmacy file alone contained about 15 million prescription fills.
More recently I became certified as a Professional by the Care Innovations Validation Institute and sit on their Advisory Board. This certification tested my ability to look at data and decide whether the outcomes reported were likely to be valid or not. As you look for vendors or consultants I would suggest you start with the Validation Institute. The following example is a good reason why.
Cruising around the web looking at various healthcare consulting firms and company websites I came across a company that is targeting employers and claims they have vetted and can bring in vendors to lower the costs for a company’s self funded health plan. Their website says they can identify, evaluate, oversee, manage and report on the vendors they propose.
On their home page is a chart used to show the savings an employer can expect to see by implementing their various cost saving approaches. Can you spot the flaw(s)?
Let’s start with the first and most glaring error and its on the first line. Continue reading