ISMA e-Reports, May 5, 2008

Take a step into health information technology

E-RxThousands of medical practices have the mistaken notion they're doing electronic prescribing – or e-prescribing. In reality, an estimated 150,000 prescribers across the country use
their electronic health records (EHR) systems to fax prescriptions to pharmacies. 

Faxing requires pharmacy staff to re-enter the information into the drug store's computer, increasing opportunities for errors. By one estimate, only 7 percent of eligible prescriptions are being routed electronically. (Source: Surescripts)

All this means practices with EHRs are failing to reap the benefits of e-prescribing, which usually requires purchasing
add-on software. And practices that don't have EHRs are failing to see e-prescribing as an intermediate step toward EHR adoption. Today, plenty of options are available, including Web-based e-prescribing programs.

Benefits of e-prescribing
Ditching paper for electronic transmission can be a major step toward improving patient care and simplifying administrative processes. A Medical Group Management Association (MGMA) study estimated the complexities of ordering prescriptions cost $15,700 per full-time physician per year.

E-prescribing offers the potential to conserve resources and increase efficiency by:

  • Reducing fraud, errors and adverse drug events
  • Providing easy access to formularies and patients' medication history
  • Improving patient satisfaction
  • Decreasing phone calls and faxes
  • Enhancing communication between pharmacy and prescriber

"As a profession, our challenge is to embrace technology as a tool for more effective and, hopefully efficient, patient care," said Indiana's Edward Langston, M.D., R.Ph., chair of the AMA Board of Trustees. "Physicians have always embraced technology when the utility has been effectively understood. The rapid use of PDAs is a prime example."

See Dr. Langston's column on this topic in the March 7, 2008, American Medical News.

In March, four medical specialty societies, along with the MGMA, introduced a Web site to guide practices through the transition to e-prescribing.

The site will help determine if e-prescribing capabilities of software or an EHR are compliant with the Centers for Medicare & Medicaid Services (CMS) regulation for e-prescribing that will become effective in 2009.

If you don't have an EHR or e-prescribing software, use the site to learn how to evaluate and purchase technology to support e-prescribing. One feature can help you calculate an estimate of the time and resources you now devote to processing prescriptions.

Action on other fronts
In 2001, drug store chains and independent pharmacies partnered with pharmaceutical trade associations to form a network for transmitting prescriptions electronically. That Pharmacy Health Information Exchange, operated by SureScripts, facilitates e-prescribing between physicians, including those in Indiana, and major drug stores like CVS and Walgreens, as well as some independent pharmacies.

Of course, e-prescribing also saves money for health insurance companies, one reason why insurers and their trade associations are urging its adoption. When physicians use e-prescribing, they are prompted about lower-cost generic options and formulary drugs. If prescribers nationwide make the prompted choices repeatedly, it results in major savings for the health insurance industry.

In Michigan, insurers and major auto manufacturers reportedly saved $3 million through increased use of generic and formulary drugs. The initiative pays doctors $1,000 for participation in e-prescribing and tracks use of generics. (Source: Modern Healthcare, February 18, 2008)

Concerns about cost and data security continue to serve as barriers to adoption. But the federal government is stepping up activity in this area.

The CMS on April 2 issued a final rule establishing Part D prescribing standards. While Medicare providers are not required to implement e-prescribing, those who do must comply with new standards for electronic scripts for Medicare Part D patients by next year.

Dr. Langston said, "E-prescribing has the potential to create a pathway for wider use of electronic health records technology. I challenge you to explore the options available right now in commercial products, as well as Web site choices. The pathway for adoption has never been wider."

Explore for yourself
Learn about options at National E-Rx.

Find technology vendors that can help you do e-prescribing; see the left column on SureScripts Web site.

Find the 2009 Medicare Part D standards.

Read more about heath care technology initiatives from Health and Humans Services.

The AMA defines electronic prescribing:
Software that allows for prescriptions to be transmitted electronically to the pharmacy's computer system. Other functions of electronic prescribing may include patient eligibility verification with health plan, co-pay information, formulary data, medication history, "fill" status and medication alerts. Electronic prescribing may be part of an EMR application or a stand-alone software system.

FAST FACT
Indiana ranked 33rd among the 50 states and Washington, D.C., in electronic prescribing adoption and utilization. That's down from the 24th position that the state held last year. Find the study onlineSource: Pharmacy Health Information Exchange, operated by SureScripts