First Health Survey Shows Consumers Still Wary of Technology's Influence Upon Health Benefits
Consumers Conflicted Between "High Tech" and "High Touch" Medicine

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Steve Sabicer, Chamberlain Communications Group
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Erin Gardiner, First Health
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FOR IMMEDIATE RELEASE

DOWNERS GROVE, IL,  December 11, 2002 – Despite embracing technology in many aspects of their everyday lives, people remain conflicted about the impact of information technology upon their health care, according to a new survey of U.S. consumers by First Health Group Corp.

While Americans value information technology and some perceive it to be the answer to improving communication with their health care providers and overall health care, many are skeptical about its impact on quality of service and cost. Internet and virtual communication are perceived by certain survey respondents to lack the human interaction or "high touch" aspect desired for their health care needs.

"The managed care industry must better communicate to consumers that certain technologies empower Americans to be better managers of their own health care and that these technologies can enhance person-to-person interactions," said Edward L. Wristen, President and CEO, First Health. "While Americans are comfortable using technology when taking money out of an ATM or purchasing something on the Internet, this survey demonstrates that they are skeptical of using the same technology when it comes to their health care because they fear it may replace the human touch."

The Consumer Health Benefits Survey, conducted by Harris Interactive, evaluated consumer receptivity to health care information technologies as basic as online access to medical records and as advanced as remote devices to monitor vital signs. First Health conducts periodic assessments of consumer concerns and attitudes regarding technology, health care and health benefits.

Consumers value technology, but skepticism still reigns

The study found that:

• 59 percent of people surveyed agreed that information technology will give them a sense of control and empowerment in managing their health.
• 63 percent believe information technology will save them from making unnecessary visits to the doctor.
• As many as 52 percent of consumers believe they will benefit from any cost savings resulting from information technologies, such as an email/phone reminder to refill prescriptions or a monthly status phone call from a medical professional.

However, an inherent disconnect exists as consumers doubt the value and cost of technology:

• 53 percent of Americans feel that new information technology will end up being more trouble than doing things the old way.
• 77 percent of Americans believe that doctors will miss subtle clues in online interactions that they would normally pick up in a face-to-face visit; 60 percent feel technology will replace much in-person care, driving doctors even further from their patients.
• As many as 61 percent of consumers believe that new technologies will raise the cost of health care and as many as 89 percent believe the patient will end up paying that cost.

A majority of Americans identified two information technologies that could potentially improve health care: Internet-enabled remote monitoring (58 percent) and personalized health management through email or telephone reminders (56 percent). Despite their link to information technology, respondents considered these services "high touch" medicine.

Blending high tech and high touch

"The results from this survey are a wake-up call for the managed care industry," said Ed Wristen. "Consumers need to better understand that there are tools available to them that enhance their ability to manage their health care and health benefits. Tools and technology should give consumers better service and more options when it comes to managing their health, but never at the cost of eliminating human relationships."

As an example, the First Health® Member Outreach Program uses information technology to examine claims data, identifying individuals with specific claims scenarios that have historically produced a concerned member. This information is used to place proactive outgoing calls to these members, letting them know about the issue and how they can potentially resolve it.

"The member outreach program combines technology and high-touch customer service to resolve questions before they become issues," said Susan Oberling, Senior Vice President, Health Plan Services at First Health. "Members are surprised and pleased that their health plan actually takes ownership of problem resolution instead of leaving members to fend for themselves."

Harris Interactive polled 1,002 Americans 18 years of age or older from the general population via telephone to assess their opinion regarding the use of information technology to manage health benefits. The survey used a random digit dialing methodology and had a plus-or-minus three percent margin of error.

First Health, the premier national health-benefits services company, specializes in providing large payors with integrated managed care solutions. First Health is a unique national managed care company serving the group health, workers' compensation and state agency markets. Using technology to enable service and managed care innovations, First Health sets the bar for industry performance. For more information, visit the company website at www.firsthealth.com.