Healthcare And Banking Convergence Calls For Stricter Security

By Carlos Hernandez, VP of Strategic Accounts, Acclaris

Regulatory and compliance pressures continue to rise for healthcare companies, and for good reason. The convergence of healthcare, banking and technology has created a much greater need for consumer education, security, and privacy. The most recent high-profile healthcare industry breach is another reminder of the importance of securing customers’ most sensitive and valuable data – but it surely won’t be the last. More than ever before, security and privacy protections are critical components of any platform.

Converging Concerns
The dynamic between healthcare providers and consumers is shifting as they each take on increasing financial burden and risk. High-deductible plans are quickly becoming the norm. In fact, the Kaiser Family Foundation cited an increase of 47 percent for the average deductible in just five years. As financial pressures rise, consumers are starting to take a more active role in their healthcare decisions.

In addition, consumers are struggling to get a firm grasp on all the new types of healthcare accounts – from health spending accounts (HSAs) and flexible spending accounts (FSAs) to Health Reimbursement Arrangements (HRAs). Figuring out how all of these pieces of the financial healthcare account puzzle fit together can be overwhelming. Adding to the confusion is the critical need to understand when and how to use the funds in each of the account types to be able to make prudent decisions.

The choice regarding what kind of care is needed, and from where, is quickly becoming just as much a financial decision as a healthcare one. Consumers are now asking if the tests and procedures ordered by their doctors are really necessary, and if so, should they consider an alternative treatment plan. While there may not be a short-term fix to turn the doctor’s office into a simple shopping experience, consumers are starting to take more control of their healthcare spending. It’s becoming more common for patients to think about their treatment and related expenses rather than just blindly following a doctor’s orders.

Consumers must now apply fundamental personal banking concepts to make sound healthcare decisions and properly manage healthcare accounts. Consumers want direct access to easy-to-understand resources that can add context and offer advice when it comes to making healthcare decisions. Health plans and employers are grappling with the need to deliver a more consumer-driven experience and create ongoing engagement opportunities to encourage consumer loyalty while also driving down costs.

Banking On Security
The focus on safeguarding personal data is nothing new for the healthcare industry. Maintaining data confidentiality and integrity is just as important to healthcare organizations as it is to financial institutions. However, as healthcare and banking converge, the healthcare industry must give consumers information faster and easier than ever before while applying rigorous security measures.

Consumers have every right to demand the highest possible standards in security and data protection. A stringent security program should be made up of a combination of people, processes and technology designed to protect information, while providing data confidentiality, integrity and availability.

From asset management and incident response to vendor management and security awareness training, healthcare organizations must become information security stewards. In addition, technical and physical controls are needed – firewalls, data loss prevention, biometric access controls, multi-factor authorization, etc.

The healthcare industry, both private and public, is more complex than ever before, and the emerging era of consumer-driven healthcare requires health plans and administrators to take data safety seriously. No company wants to be the next data breach headline.