Study Overview
We studied the effect of a structured electronic communication service on health care spending, comparing doctor office and laboratory spending for a group of patients before and after the service became available to them relative to changes in a control group. In the treatment group, doctor office spending and laboratory spending fell in the period after the service became available, relative to the control group (p < 0.05). A rough estimate is that average doctor office spending per treatment group member per month fell $1.71 after availability of the service, and laboratory spending fell roughly $0.12. Spending associated with use of the electronic service was $0.29 per member per month. We conclude that use of structured electronic visits can reduce health care spending.
Study Results
Mounting studies of the impact of electronic physician-patient communication is costly and complex. Thus, despite the fact that this study does have some limitations, we believe it to be a useful opportunity to gain valuable information about the impacts of Web-based communication on spending. The results clearly suggest the potential for savings associated with Internet communication. In particular, we find evidence that the probability of having any spending on physician office services was reduced with the availability of the service.