Analysis: New York’s Statewide HIE Reduces Healthcare Spending by Nearly $200M Annually

Nov. 12, 2019
SHIN-NY officials stated that if even just current participants used the system’s full capabilities, nearly $1 billion could be saved each year

Use of the Statewide Health Information Network for New York (SHIN-NY) is reducing unnecessary healthcare spending in New York State by $160 million to $195 million annually—including significant savings to Medicaid and Medicare, according to a new analysis.

The research, announced by the New York Health Collaborative (NYeC), which leads the advancement of SHIN-NY, was based on current size and use of the network, using methodology developed by the Office of the National Coordinator for Health IT (ONC) for purposes of measuring cost savings associated with recent related federal proposals, officials noted. NYeC initiated this analysis of savings to estimate the SHIN-NY’s financial value to New York State’s healthcare system.

The SHIN-NY is a statewide network designed to facilitate the secure electronic sharing of patient data across the healthcare system to improve outcomes. It’s comprised of and connects regional networks, or Qualified Entities, that allow participating healthcare professionals, with patient consent, to quickly access and share comprehensive patient health information and medical records.

Statewide, 100 percent of hospitals and over 100,000 healthcare professionals are connected to the SHIN-NY, which facilitates the exchange of health data for patients across the state regardless of health system or network within which providers are based.

SHIN-NY officials further stated that if even just current participants used the system’s full capabilities, nearly $1 billion could be saved each year in costs associated with duplicate testing, avoidable hospitalizations and readmissions, and preventable emergency department visits.

The approximated savings and value are based and consistent with results of existing peer reviewed, academic studies pointing to the value of using HIE generally, the network’s leaders contend, noting that health information exchange has been previously associated with: 50 percent reduction in rates of hospital readmission; 26 percent reduction in the rate of emergency department admissions; 35 percent reduction in the rate of repeat imaging procedures; and 10 percent lower 30-day readmission rate among Medicare fee-for-service beneficiaries.

“The clear impact on improved patient outcomes based on use of the comprehensive clinical information available via HIE, like the SHIN-NY, is critical to the health of New Yorkers,” officials stated.

“HIE is a fundamental tool that I, as a provider, have directly observed positively impact patient care and outcomes,” added Mitchell A. Adler, MD, CMIO at Northwell Health Physician Partners and chair of NYeC’s Provider Advisory Group. “Real time access to patient information when I need it is vital to my clinical decision-making and presents clear value to the healthcare system.”

This analysis is the first to consider the SHIN-NY as an enterprise, as used by its participants, to estimate savings to the state’s healthcare system. Future iterations will include further refinement and expansion, as well as utilization and use case specific estimates, officials said.

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