How E-Prescribing Can Help Healthcare Industry Save Billions of Dollars

Published Date : Jan 13, 2016

The e-prescribing market has made staggering progress over the past few years as more and more hospitals realize its significance in rendering efficient services and curbing health care costs.

With states like Massachusetts extensively adopting e-prescriptions, the United States has emerged at the forefront of the e-prescribing market. What was termed as a trickle of initial investment in the electronic health records market has changed to a steady flow mainly due to the success of initial models of electronic health record systems. The burgeoning e-prescribing market in the US has pushed North America to become the most successful region in the world and it would not wrong to attribute this growth to the rising adoption of electronic health records.

Errors in prescription can turn out to be extremely costly and in several cases, even fatal. The introduction of e-prescribing has brought about a solution that will address costly errors in prescriptions. No matter how big or small a hospital may be; collating and managing a patient’s medical history can be quite a burden, monetarily. This, however, is a burden that can be avoided entirely. The National Progress Report of 2014 states that reconciliation of a patient’s medical history can help hospitals with around 100 beds or less save US$ 1.1 million per year and also cut down 3,331 unrequired staff hours. For large hospitals with over 1,000 beds, this could result in yearly savings amounting to US$ 1.1 million. 

E-prescribing also presents the advantage of prior authorization, which helps physicians and pharmacists save significant amount of time each week. Over the next decade, first-fill medical adherence is slated to save as much as US$ 240 billion for the US health care industry.

The only challenges that e-prescribing currently needs to tackle are internet connectivity issues and problems related to data security.