Financial Inclusion in Healthcare: Improving health behavior through incentives and providing new healthcare payment mechanisms for underserved markets.
Financial inclusion and healthy choices are vital to an individual’s well-being. Yet 2 billion people worldwide do not have access to basic financial services, while 400 million individuals do not have access to essential health services. Healthcare systems are bogged down with inefficiencies, data silos, and misaligned incentives. A strong driver of growing healthcare costs are preventable diseases, which can be largely avoided with better lifestyle choices. Specifically, our test pilot in smoking is a leading cause of deaths in the U.S.6 Smoking contributes to higher insurance premiums, increased insurance claims, and negative externalities associated with second hand effects.7 8. IncentHealth is a blockchain-based platform that aims to improve health behavior through incentives and fosters a new healthcare payment mechanisms for underserved markets.
Financial Inclusion: largest beneficiaries are unbanked and underbanked.
Community: behavioral support network motivates people to meet personalized health goals (e.g. smoking cessation, weight loss or active physical activity)
Smart contract-powered: incentive system draw on lessons learned from clinical trials on health incentives and disease prevention.
Predictive analytics: customer interaction and past performance gives actionable insight on their health behavior, thus inform incentive design and patient outreach efforts.
What It Does
IncentHealth enables multiple parties to incentivize positive health behavior. Users can invest in personalized health goals while getting exposure to mobile financial tools and are rewarded with digital currency. Smart contracts interact with the blockchain to provide a trustless mechanism and auditability for external donors and health providers to verify milestones.
How Does It Work
With IncentHealth, providers signal the start, success, and fail of a smoking cessation milestones. The blockchain serves as a hub for neutral patient owned, provider verified data, reducing the risk of fraud. Patients will be able to access and manage their own decentralized identity, created when they onboard with their health provider. This platform is powered by smart contracts that draws lessons learned from clinical trials on health incentives and disease prevention.
A multifaceted incentive design--inspired by clinical trials--rewards patients with digital currency for meeting health goals 3 . Incentives create a positive network effect by encouraging longer term patient-caretaker participation, while addressing the difficulty of first-time onboarding.Predictive analytics will use aggregated health milestones to predict and apply incentive policy designs.
Market Distribution and Partners
Physicians 9 and health providers are key trusted partners who will help onboard users. Other main partners are insurance firms, companies, and public sector groups that want to enhance worker productivity and lower healthcare costs. All stakeholders can contribute to incentive design, distribution of incentives, and accepting crypto-tokens for services on the network. Distribution channels are diverse and tailored with users in mind at each stage of their journey towards healthier living: setting up Ethereum user wallets; company discounted insurance; health products and services at commercial providers and physician offices; prepaid debit card access.
Size of market? This prototype will test pilot a smoking cessation intervention within the health management sector. According to estimates from Grand View Research, Inc., the global smoking cessation and nicotine de-addition market exceeded $8 billion in 2015 and is expected to surpass $21 billion by 2024. 1 While Asia Pacific is the quickest growing market, North America accounts for the largest market share of over 35 percent in 2015 due to a wider availability and diversity of vendors such as flavored products and e-cigarettes. 2. The market for consumer facing health care products and wearable apps connected to incentive programs is expected to exceed $20 billion by 2018, based on figures from The Economist.10
Team members: Dan Schott, Dang Du, Nic Wagner, Jake Gillberg, Luis Dominguez.
References _1 Smoking Cessation And Nicotine De-addiction Market Analysis By Product (Nicotine Replacement Therapy, Inhalers, Gums, Patches, Lozenges, Sprays, Sublingual Tablets, Varenicline, Bupropione, Drug therapy, E-cigarettes) And Segment Forecasts To 2024"
2 Smoking Cessation and Nicotine De-addiction Products Market: Global Industry Analysis 2012 – 2016 and Forecast 2017 – 2025
3 Randomized Trial of Four Financial-Incentive Programs for Smoking Cessation Halpern, S.D. et al. Journal of Vascular Surgery , Volume 63 , Issue 2 , 553 - 554
4 MIT Prototype Incentivized Ethereum Powered Cycling
5 Finland provides blockchain identity and financial inclusion - asylum seekers
6 Rostron BL, Chang CM, Pechacek TF. Estimation of cigarette smoking-attributable morbidity in the United States. JAMA Intern Med 2014;174:1922-1928
7 Abelson, Reed. The Smoker's Surcharge. NY Times. Nov 16, 2011
8 Kevin G. Volpp, M.D., Ph.D., David A. Asch, M.D., M.B.A., Robert Galvin, M.D., M.B.A., and George Loewenstein, Ph.D. N Engl J Med 2011; 365:388-390August 4, 2011DOI: 10.1056/NEJMp1105966
9 Reutzel,Bailey. Physicians Say Blockchain Healthcare Ideas in Need of Exam
10 Healthcare things are looking app. 2016, March 10. The Economist. Retrieved from https://www.economist.com/news/business/21694523-mobile-health-apps-are-becoming-more-capable-and-potentially-rather-useful-things-are-looking
Persona and User Journey: https://app.xtensio.com/folio/w7c0jip9
Week 1 Submission
Week 2 Submission
Week 3 Submission
IncentHealth ChatBot Demo