The cost of health care administration is a hot issue in America. According to the Center for American progress, in the U.S. health care system an estimated $361 billion annually goes to cover administrative costs. That number is a 14 percent of total health care expenditure nationwide.
Improvements in IT are expected to reduce these expenditures dramatically. The New England Journal of Medicine, citing the Harvard University Department of Economics, states that "The average U.S. physician spends 43 minutes a day interacting with health plans about payment, dealing with formularies, and obtaining authorizations for procedures." In the report released by the Center for American Progress in June 2012, experts estimate that adoption of electronic transactions, or adoption of IT, can lead to a potential $26.1 billion in annual savings.
Here are some entrepreneurs who are making strong progress in the health care IT domain.