Blockchain Technology Improving Data Privacy and Interoperability in Healthcare

Data security has always remained a greatest concern for US Healthcare Industry. A recent report by Health Exec has revealed that 84% of healthcare organizations have experienced a data breach the previous year. With sensitive patient information at risk and regulatory pressures mounting, providers are seeking innovative solutions to safeguard their data. And Blockchain introduces a new model of security framework that is interoperable and fully HIPAA-compliant. We at Shoreline Healthcare Technologies, have embedded blockchain into our RCM operations to deliver unmatched transparency, security, and efficiency. In this blog let us see the core principles of blockchain and how providers are benefitted from them for creating a secure, patient-centric system.

What do you mean by Blockchain?

Blockchain is a technology that works by spreading data across a network of computers (or nodes) as distributed ledger, instead of storing the information on a single central server. It adds each piece of new information as a block linking it cryptographically to the previous block, creating an unbreakable chain.

Core Principles of Blockchain Technology in Healthcare

Decentralization: All medical records and data are distributed across authorized providers, payers and patients so that everyone can access the shared information instantly leading to faster claim verification and reimbursement. It also enhances the system resilience to cyberattack.
Immutable: The data stored in a blockchain cannot be altered or deleted. This prevents others from changing the service codes, dates, or patient information and submit fraudulent claims.
Transparency: All the ledgers are distributed and shared with every node so that all authorized participants can access the data, see the history of transactions and can independently verify the data, without a central intermediary. This builds trust and creates a clean audit trail.
Consensus: Blockchain relies on rules to validate transactions, that is the network must agree that a transaction is valid before adding it to the blockchain. This enhances the integrity and security of the entire ledger, and all participants will have a synchronized and accurate version of the data.

infographics of Core Principles of Blockchain

Security & Cryptography: Blockchain uses advanced encryption to protect the data and controls access. Every block contains a cryptographic hash of the previous block, so that any data changes would change its hash, which would, in turn, invalidate the hash in the next block and every subsequent block, this breaks the entire chain and alerts the network. So it is extremely difficult to manipulate any medical records.
Smart Contracts: They are coded with self-executing agreements that automatically enforce terms when certain conditions are met, so that there is no need for intermediaries.

We at Shoreline Healthcare Technologies, are committed to deliver smarter, safer, and more efficient healthcare solutions. Our latest press release highlights our new advancements that are specifically designed to strengthen data security, improve revenue cycle management, and empower providers with next-generation tools.

How does Blockchain helps in healthcare?

Blockchain Technology creates a tamper-proof record which is decentralized and makes it inaccessible, so that the sensitive patient data is protected from breaches. It gives patients a greater control over their medical history and allows secure interoperability among providers, billing companies and payers. They also help IoT healthcare devices for having a faster and safer data sharing.

Enhances Data Security & Privacy: With Blockchain security hacking patient data has become much harder as they are no longer held in a single location. The cryptographic access makes sure that only persons with the right permissions can view it taking a massive step forward in preventing a data breach.
Improves EHR Interoperability: Blockchain provides a unified, peer-to-peer networking, helping providers to share patient's medical information. This improves data integration and leads to better care coordination.
Patient Access: It gives patients a control over their medical records and allows them to grant access to their healthcare providers located anywhere at any time. This might improve care coordination and helps patients to take decisions over their own health.
Reduces Fraud and Errors: The distributed ledger technology helps to keep the records transparent making it nearly impossible to falsify any medical history.
HIPAA Compliant: Blockchain's immutability, access controls, and transparent auditing gives a powerful framework for organizations to meet the HIPAA requirements.

Challenges in Blockchain Technology

Scalability: A major challenge of blockchain is the need to quickly process the vast amount of data from Healthcare IoT devices. There is a need for Hyperledger blockchains for high-speed transactions, requiring a mix of on-chain and off-chain storage.
Integration with the Existing Systems: Integrating the blockchain solutions with the existing EHR systems might require significant effort and technical expertise.
Regulatory frameworks: It requires a standardized framework to meet the state-specific and federal rules like HIPAA compliance to unlock seamless data sharing.
Initial Costs: It requires a high initial cost to setup and develop a new blockchain-based system.

Secure Medical Record Sharing using Blockchain

Data Generation: The wearable device collects the patient’s vitals.
Off-Chain Storage: These raw, large data files are stored in a secure off-chain storage solution before entering the blockchain.
Blockchain Entry: The blockchain only records a small, secure pointer to that data file. This includes a unique cryptographic hash and a timestamp.
Smart Contracts & Access Control: The patient, as the owner of their data, uses a smart contract to set rules for access. For example, they can give their primary care doctor permission to view their full medical history for 24 hours. And when the physician tries to get their data, this smart contract verifies their identity and provides them with the key to decrypt the data from the chain.
Audit Ready: Every single request, permission granted, or data accessed event is logged on the blockchain, and creates a clear, transparent and unchangeable records for audits. This will also help to maintain the compliance with regulations like HIPAA.

We at Shoreline Healthcare Technologies uses blockchain smart contracts to automate some key steps in revenue cycle management helping providers experience fewer delays, less paperwork, and more reliable reimbursements.

FAQs

Q1. What do you mean by off-chain storage?

Off-chain storage means keeping the large data files like X-rays or MRI scans out of the blocks to manage the challenges of scalability. Only a small pointer or cryptographic hash of the data is stored in the block chain to ensure the system remains fast and efficient.

Q2. What are smart contracts in medical record sharing?

Smart contracts are self-executing rules that automatically verify and allow only authorized doctors or insurers to view a patient’s medical history.

Q3. Does Blockchain support HIPAA compliance?

Yes. Blockchains are implemented with encryption, and permissioned access that fully support HIPAA compliance.

Q4. Is ShorelineMB the same as Shoreline Healthcare Technologies?

Yes, ShorelineMB.com is the official website of Shoreline Healthcare Technologies, a leading provider of medical billing and RCM services.

Sharanya Rajmohan

Content Writer

Sharanya brings clarity to the complexities of medical billing and healthcare regulations. With a knack for turning industry shifts into straightforward, actionable insights, her blogs help readers stay informed without the jargon.