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Fintech’s growing role in the healthcare revolution – TechCrunch

The quest to offer Expanded by the COVID-19 pandemic, more affordable and accessible healthcare has spurred an explosive growth in innovation, which in turn has attracted huge amounts of capital. Take this into account to see this. In 2019 Digital Health saw $ 7.7 billion in VC investment, and that number increased to $ 14.6 billion in 2020. However, Seeed $ 14.7 billion in the first half of 2021 alone Investing in venture capital.

Marriage with FinTech is a catalyst for transformation in the healthcare industry.Similar to Unbundling financial services And how FinTech is expanding vertical SaaSThe pandemic-fueled disassembly of healthcare has spawned a new player pulling pages out of the FinTech Revolutionary book. Everything starts with payment.

More and more startups are now Fintech playbook To solve an important part of the medical problem: the changing dynamics between patients, payers, providers, and how payments and associated electronic health records (EHRs) flow between them. In addition to shifting payment and data flow responsibility from payers to patients, providers are currently facing significant changes to new billing and engagement models and need new technologies and platforms to support those changes.

Through FinTech lenses, here are three important areas of health care to watch.

Gamification to stop chronic illness Consumer health

One of the biggest trends affecting today’s population is the steady increase in chronic disease.Presumed Almost half of the US population By 2025 you will have a chronic illness. People get sick for a longer period of time, which leads to constant spending.Patients who do not follow medical guidance are a major factor and responsible $ 100 billion annually in medical costs and more than 100,000 deaths..With the surroundings One-fifth of patients Educating patients, completing care, and encouraging them to avoid readmissions and emergency outpatients is a priority because they never meet their prescriptions.

The fusion of health and fintech will be an important catalyst for addressing some of the most pressing problems facing healthcare today.

To curb the rise in chronic illness and the associated recurring costs, many start-ups use behavioral economics and gamification to incentivize patients and develop healthy habits. for example, Pace line In the United States Sweat coin With europe Better fly In Latin America, wellness is gamified by combining fitness and monetary rewards.

On the other hand, startups Semper Health When Wealth We are working on non-compliance with medical care in behavioral economics. For example, Wealth rewards behaviors such as on-time prescription intake and regular A1c tests for diabetics.

Fintech for affordability and reduced friction

Looking at payers, there are major changes due to the rise of High Deduction Medical Plans (HDHP) — increasing enrollments 43% in the last 5 years — Emphasize increased premiums and patient financial responsibility. Out-of-pocket costs threaten the financial stability of many. 40% of Americans I can’t pay an unexpected invoice for $ 400.

Fintech’s growing role in the healthcare revolution – TechCrunch Source link Fintech’s growing role in the healthcare revolution – TechCrunch

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