Quadrant 4 to develop health exchange ‘cloud’
ROLLING MEADOWS — Quadrant 4 Systems Corporation said it has begun development of its cloud enabled comprehensive platform for the U.S. health insurance exchanges, which will become operational in 2014.
The Affordable Care Act of the United States seeks to increase insurance coverage for 32 million uninsured individuals, including 24 million who are expected to obtain coverage through a health insurance exchange, according to a Congressional Budget Office projection. The number who might eventually obtain coverage through these exchanges may be up to 65 million if employers curtail employer-sponsored insurance programs or larger numbers of individuals pursue coverage.
ACA must be operational by 2014 and many states are in the final stages of requesting formal bids to develop, participate and/or operate these health exchanges per Federal guidelines. The significant part of these exchanges will be the core software platform that provides functionalities to qualify and enroll and process the individuals. Quadrant has begun developing a cloud-based platform that will have comprehensive set of functionalities to satisfy requirements of private health exchanges as well as exchanges being proposed by many states. The platform will offer a complete set of functionalities and interfaces for health plan administrator, payers, and health care providers as well as groups and individuals looking to purchase insurance through the health insurance exchange marketplace.
“Through this platform, Quadrant4’s addressable market, just in exchange space for the software development opportunity alone, would run into at least $5 million per state, and every dollar spent on software development would lead into at least $5 in recurring managed services revenues,” said Dr. Nandu Thondavadi, Quadrant CEO. “This will be a very substantial market for our company to be in, which should eventually make us a standout in the industry through our health care practice.”
Dhru Desai, Chairman of Quadrant, said it is a “tremendous opportunity to introduce advanced information technology in health care infrastructure to help control costs while improving the quality of health care.
“Quadrant 4’s Health Insurance Exchange platform architecture is based on advanced technology stack that the company has been developing over last six months and represents a true convergence of cloud computing, mobility solutions and a social media based tool set,” Desai said. “The platform envisions advanced analytics capabilities to monitor the cost and quality of health care.”