M. D. Anderson Cancer Center
Date: April 2008
Duration: 0 / 09:35
Chris M. Hymel, i-Consent L.L.C.
I represent in i-Consent and a little background. Basically everyone
in these politically charged, seasons heard politicians talking about
the need to control and how to control health care cost and they are
actually trying to hide who is paying the healthcare costs. In the
immediate medical environment, here especially controlling health care
really means exactly that retarding the growth or actually reducing the
overall cost of health care for the community. One of the ever rising
health care costs has nothing to do with health and too often very
little to do with care is the cost of malpractice litigation, its
impact on malpractice insurance premiums, which are paid by physicians
and institutions alike. In recent years, many states have applied a
tourniquet called total reform to this basically financial arterial
bleed having to do with malpractice claims, but the financial blood-letting is continuing from a hundreds of small wounds. Let me give you
a story, one example, a true story. Neurosurgeon in Dallas performs
carpal tunnel syndrome and is sued. The individual has numbness after
the surgery, one of the risk factors that were known and signed on the
informed consent form. Lawyer is ready to fight, the lawyer is for the
insurance company will walk in and say, 'You know we can get rid of
this guy for fifteen thousand dollars, but I'm not wrong, I didn't do
anything wrong, it was one of the risk factors, he agreed to it.'
Patient's response about the informed consent is, 'Well I read it, but
I didn't understand it, but I had to sign it to get the surgery, I
needed the surgery.' Basically he was not defensible. Essentially
instead of spending a thirty thousand dollars in two weeks to fight the
case he chose to have a black mark in his record because he couldn't
defend against improper informed consent. Review of articles and
subjects on [inaudible] laws reports, have suggested some interesting
insights on claims. Most of the claims are small, tens of thousands of
dollars, not the huge awards. Forty percent of them don't actually involve any
errors at all. Most claims, however, most claims do allege a lack of
informed consent and many practitioners are not actually getting an
effective informed consent. Significant portion of the cost of
malpractice protection results from difficulty in proving in court of
law you have an invalid informed consent. Typical form [inaudible] are
still somewhat redolent with med speak and are often incomprehensible
to a number of the patients. Medical technology much was initiated here
and is advancing at a very fast rate. Medical communications
[inaudible] at the patients is not. The solutions and interactive
informed consent system, one which provides a defensible cogent, you
know, consent from the patient. Let's talk about the market segment and
market needs. There's four major segments. The patients would be the
better informed recipients of healthcare. Nurse practitioners and
physicians, independents, the hospitals, institutions like this place
and the insurers and reinsurers. The patients or the recipients really
need to understand health care services that are being provided. They
need to understand the terminology, underlying conditions and this is
nothing new to any of you folks. You have to become better consumers of
health care. The practitioners really need to provide a cost effective
efficient convenient way to deliver and legally coach an informed
consent that's the industry recognize. They also want to mitigate the
owner's effects of the process thereby not contributing to the cause of
malpractice, not losing practice time defending themselves and not
abandoning practices to other arenas because of the skyrocketing health
care cost. Institutional law providers very similarly overlap to their
practitioners. They have to deliver a consistent high quality of
legally cogent informed consent. They also have to be able to assess
his performance as it is delivered not years later when you are trying
to defend yourself. The reinsurers, they effect, their need is to be
able to effect the delivery of an informed consent system, in this case
via economic incentives. However, the informed consent delivery is
controlled by health care providers. They need access to performance to
proactively manage the risks, not basically make decisions based on
premiums or decision to insure or not insure. They also want to be able
to demonstrate IC, informed consent comprehension evidence to defend
themselves against claims. Summary of the market value of patients to
be better educated consumers, practitioners can devote more time to
delivering health care, health care management will improve their
operations reducing costs and insurers will reduce their liability. The
product itself. I'm talking about informed consent product, which is
delivered via the internet using interactive multimedia. It should be
able to deliver more effective informed consent information to the
patients and their families and assess piecewise user comprehension of
the content. For instance, you may describe terminology as the first
thing. Here's the term and here's the anatomy. Let's ask you about the
terms in the anatomy. You get through that, you make sure that they
have the answers to your questions right, go back over until they get
them right, go to the next thing the procedure. Let's go over the
procedure, but ask multiple choice questions, keep going over until
they get it right. Then you go to risks, going down the line. The idea
is to make sure you can prove comprehension, something that's lacking
in many of the current informed consents. The ability to archive the
results of comprehension can accelerate the evolution of the content.
You can prove point. You can allow for assessment of the delivery
process and reduce some of the fairly and ill founded malpractice
claims. It also provides strong measures to product development for the
company producing a product based on performance. Use of multimedia,
they have certain advantages to these products. The use of multimedia
can circumvent some of the literacy and social and cultural impacts to
comprehension. In our activity list, computers control delivery. They
are basically getting ready for surgery and signing a document, they
really can read and they all have to sign it because you don't get the
surgery without signing the document. It gives them the opportunity to
really spend time learning in an ideal learning situation for
themselves. Online access gives you flexibility and convenience. You
can get it to either the clinic or from the home. It also mitigates
some of the, as I mentioned earlier, some of the detrimental effects on
delivery. The use of an uniform IC content developed under folks like
yourself recognize medical experts from a central source should raise
the bar of healthcare IC standards. Integral models that assess
understanding, allow realtime detection of gaps. The doctor will get a
report that he understood everything, but Rh positive, Rh negative,
please explain that to him, yet he went through the question over and
over and did not understand that piece, so the doctor will know what
the patient understood and didn't understand and of course our
cognitive result is useful for review by colleagues, by industry,
obviously evidence to defend yourself against litigation and in fact
providing an interim vacation if indeed the informed consent that you
have used, you have license for a company is found to be lacking, where
we identify the ascertained level of losses, it's part of the benefits
of the package. Why should we be doing it? What do we have that anyone
else doesn't have? I actually started the company as Biodyne in 1992
doing medicolegal litigation. I was in the dark side, 70% or so of the
patients were plaintiffs attorneys. Total reforms have knocked the feet
out from under that. They did a pretty good job because they were all
these big cases. You didn't do fifty to sixty thousand animations for
hundred thousand heart cases. However, we did gain a lot of experience
in doing medically related animations litigation support. We had a team
that learned to integrate biomedical medicolegal design, education
psychology, we are trying to educate eighth grade target jurors. The
education level to target that low. We have mastered a lot of
techniques mostly the 3D modeling animations. You have been seeing the
graphics all along. Those are actually from real cases. Those are
excerpted from some of the work we have done and we actually learned to
standardized and modularize most of the development. The resources we
already have include the animation software, third party animation
packages. We have extensive media altering web development software. We
have got some multimedia interfaces that we've developed over a period
of time. We have done children animations again skills that took a long
time to develop. We have a pretty extensive library of biomedical
anatomical models and several complete stand-alone animation pieces on
various biomedical subjects because of the litigation nightmare we went
through I guess. We actually made good money, but it was working with
lawyers more than doctors. Our hardware includes sort of the technical
things. You wouldn't be surprised, you would be surprised not to hear
that we have multiple servers, high speed networks, multi-session
rendering capabilities, so multiple computers rendered the animations
and get them out quickly and of course the requirement for professional
broadcast quality audio and video editing. The plan, complete the
development of the web accessible dimension of prototype, in this case
we chose obstetrics and the first procedure is actually going to be a
genetic amniocentesis. It will be a multimedia presentation using a
procedure. It will be a demonstration of the online testing and of
course the depiction of the reports the doctor would receive or an
attorney could receive. Course we are pursuing it, we've already
thought of pursuing a large property protection, which demonstrates the
prototyping should parties, obviously investors, more importantly
probably hospitals and doctors determine their interest level refine
their product pricing and specifications and of course talk to the med
malpracticing insurers. What we want to do is get them to offer a
discount. If you can give them 5% off their insurance premium of 5000 a
year, it probably pays for itself. Complete the product for a single
medical specialty, I have mentioned obstetrics previously. We marketed
the product to doctors in that specialty, use revenues from the first
specialty to develop the next two or three specialties, then you market
it. You know it's kind of obvious market. The additional specialties as
the content is completed. Pricing, the annual license fee of five
thousand dollars about 5% of obstetrics policy per year and a market
penetration of 5% in one specialty generates about over five million a
year. Capital needs two million dollars, type of funding is obvious,
it's to develop and market the initialize IC product, which actually
represents about half of that fund amount and the rest is to market the
product. Funding should cover through 2009 until we can generate
positive cash flow and I have a great picture for safe harbor. I
thought it was cute. That's it. Thank you for your attention.
[Applause]
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