Presentation by Steve Brown and Harris Miller introducing the ITAA Whitepaper: Chronic Care Improvement: How Medicare Transformation Can Save Lives, Save Money, and Stimulate an Emerging Technology Industry

1. Chronic Care Improvement: How Medicare Transformation Can Save Lives, Save Money, and Stimulate an Emerging Technology Industry May 10, 2004 Presentation by: Harris N. Miller, President Information Technology Association of America 1

12. Getting to E-Health: The Opportunities for Using IT in the Healthcare Industry Using network technologies for chronic care is the “poster child” for opportunities in using IT effectively in healthcare. 12

14. Technology-based Chronic Care Improvement Steve Brown, Health Hero May 10, 2004 14

17. 2004 Medicare Inpatient Costs: Select Chronic Diseases 17 Disease Discharges Cost per Total cost Coronary artery disease .9 million $29,000 $25.6 billion Chronic heart failure .8 million $19,000 $15.2 billion Chronic obstructive pulmonary disease .4 million $16,000 $6.2 billion Mental health disorders .2 million $16,000 $3.9 billion Diabetes .2 million $20,000 $3.8 billion Hypertension .1 million $22,000 $3.2 billion Asthma .07 million $13,000 $1 billion TOTAL 2.8 million $21,000 $59 billion

23. VA Results Applied to Medicare If Medicare could achieve results similar to the VA’s with similar patients with a model of care coordination that integrates care coordination services with daily in-home monitoring and clinical information tools, Medicare could save $30 billion a year . 23