In 2022, 90% of hospitals and clinics required credentials for medical industry representatives entering their facilities, according to NMS Health.
Fulfilling these requirements costs millions of dollars and labor hours because most of those healthcare centers don’t adhere to one national set of vendor credentialing standards such as the ANSI NEMA SC-1 2020 American National Standard for Supplier Credentialing in Healthcare.
TGaS Advisors, a division of Trinity Life Sciences, recently conducted a survey to gain insights into how companies handle various aspects of the representative credentialing process.
For example, representatives only handle some of the steps in the credentialing process. A vendor or home office fulfills the majority of needs – demanding multiple people and hours for each healthcare client site’s credentialing requirements. In fact, it takes most of the companies in the TGaS survey one full week to complete the credentialing process for one representative. In addition, most vendor companies don’t keep a database of all of the policies and credentialing requirements received from their representatives or healthcare centers.
Responses also seem to confirm the frustration that companies have with vendor credentialing protocols at different institutions. The top 5 challenges according to survey respondents are:
- New documents/required acknowledgements added by sites after initial credentialing is completed
- Lack of understanding for how to complete the process
- Unclear expiry or renewal requirements for documents
- Length of time to complete internal review/document negotiations
- Insurance Certificates
In 1960, the U.S. spent $27 billion on healthcare, or 5% of the economy. Fast forward by 2020 U.S. healthcare spending spiked to $4.1 trillion, or 19.7% of the economy, according to USAFacts.
This dramatic escalation reflects a deeper problem embedded in the healthcare system’s complex delivery systems, processes, and mechanisms.
“One piece of this complex system involves medical devices and pharmaceuticals entering hospitals primarily impacting industry representatives and suppliers,” said Sharon Gleason Jenkins, Ed.D., Executive Director, C4UHC.
“Inconsistent credentialing requirements for these reps are cumbersome, costly and can sometimes cause great harm to patients if a rep providing instruction on a medical device is denied timely access into a facility and its operating room.”
The mission of the Consortium for Universal Healthcare Credentialing (C4UHC) is to promote the common business interests of organizations connected with the healthcare industry in order to create and advance American National Standards for a streamlined healthcare credentialing process, which will protect patient safety and confidentiality, eliminate duplicative efforts and costs, and meet the needs of both healthcare providers and suppliers.
Join our mission today! https://c4uhc.org/join-c4uhc/