Over the years, PNC has assembled a team of experts who are experienced and knowledgeable about the unique administrative challenges of the health care industry. By centralizing our expertise and products under a unified brand, PNC offers health care financial managers a single portal to easily tap into all of our health care industry resources
Pittsburgh, PA (PRWEB) January 5, 2009
PNC (NYSE:PNC) announced today the reorganization of its nationwide health care businesses under the new strategic brand, PNC Healthcare. The restructuring unites PNC's health care billing and payment operations, a health care clearinghouse, new product development, customer service and relationship management into a single line of business within PNC's Corporate & Institutional Banking. Paula Fryland, executive vice president, has been selected as head of PNC Healthcare.
"Over the years, PNC has assembled a team of experts who are experienced and knowledgeable about the unique administrative challenges of the health care industry. By centralizing our expertise and products under a unified brand, PNC offers health care financial managers a single portal to easily tap into all of our health care industry resources," said Fryland.
PNC has accrued industry insight over the past decade, serving the financial services needs of over 1,000 health care industry customers with customized solutions, innovative technology and proprietary research.
The U.S. health care industry currently manages over 30 billion transactions a year, with approximately $2 trillion in annual payments. Nearly 50 percent of those transactions are still paper-based, and unnecessary administrative expenses currently represent $100 billion a year, or 5 percent, of total system costs (The McKinsey Quarterly December 2008).
"One of the greatest challenges is converting paper-based health care billing and payments to standardized information that is electronically transmitted. At PNC, we are pushing the technology beyond traditional cash management and health care clearinghouse services, providing more actionable information associated with the bills and payments that can help health care providers better control administrative costs, predict cash flows and improve workflow," said Fryland.
Health care spending in the U.S. is growing at an annual rate of 7 percent, and growth is projected to remain near that same rate through 2017 (The Centers for Medicare & Medicaid Services 2007). In the last four years, revenue for PNC's health care business has grown at double the rate of health care spending in U.S. with significant opportunity for additional growth based on increased market share and industry projections.
In another step to gain industry insight, PNC announced in December a new advisory board comprised of financial executives from leading health care organizations and institutions to provide strategic input regarding health care financial services, management and administrative issues.
PNC Healthcare is part of The PNC Financial Services Group, Inc., (http://www.pnc.com) one of the nation's largest diversified financial services organizations providing consumer and business banking; specialized services for corporations and government entities, including corporate banking, real estate finance and asset-based lending; wealth management; asset management and global fund services.
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