IT has the potential to improve the health of Medicare patients with chronic diseases, save more than $30 billion per year, and prevent 1.7 million yearly hospitalizations, according to a new report by the Information Technology Association of America (ITAA )

The white paper, titled "Chronic Care Improvement: How Medicare Transformation Can Save Lives, Save Money, and Stimulate an Emerging Technology Industry," cites "technological innovation" as a way to improve health for the eight million Medicare beneficiaries with five or more chronic conditions.

"Clinical technology systems that help identify problems [for chronic care patients] and allow for early intervention are the future model for cost savings," said Mark Uncapher, ITAA senior vice president and counsel. Decision-support tools, electronic medical record systems, and handheld devices were recognized in the white paper as effective ways of improving care and patient/physician communications.

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