Data at the Speed of Health: Optimizing Healthcare Claim Data Migrations with AI

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Learn how insurance organizations can use AI to shrink migration timelines and drive ROI when migrating healthcare claim data to the cloud.
July 25, 2024
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An executive begins a departmental meeting with these words: “We are going to migrate our claim system.” These are words that can strike terror into the hearts of even the most seasoned employees at any sizable organization. Transitions of this order in the realm of healthcare claim data can be daunting to some, painful to others, can stretch into years of hard work, and are not without the risk of failure. Staff who have lived through this in the past know of included blackouts for PTO, duplicative work, labor efficiency departures; the thanks is often no more than a pizza party for those who make it through the battle and successfully migrate their claim system to a centralized cloud platform like Snowflake.  

What is Data Migration?

Data migration refers to the process of transferring data from one system to another. This could involve moving from an outdated system to a feature rich new one, consolidating multiple databases, or transitioning to a cloud-based environment. The goal is to ensure that data is accurately and securely moved with minimal disruption to business operations.

What is Data Modernization?

Data modernization, on the other hand, encompasses a broader scope. It involves updating and enhancing the data infrastructure to leverage contemporary technologies such as cloud computing, advanced analytics, and artificial intelligence. The objective is to improve data accessibility, performance, and security, enabling more things like:  opportunities for increased revenue, reduction in cost, informed decision-making and better customer service.

In the article Data at the Speed of Health: Data Modernization in Healthcare and Medical Insurance, we discussed the need for modernization to enable the ever changing landscape of data in the industry and many times includes migrations of systems.  Systems should not simply be migrated blindly if they are to build consensus for all objectives of the program. These systems range in size, complexity, and organizational impact.

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How Do We Solve These Problems for Healthcare Claim Data?

There are tools available today that are quickly becoming commonplace in the migration area of expertise when migrating systems.  The greatest interest of the last couple of years has been Artificial Intelligence (AI).  This has emerged as a transformative force in this arena, offering unprecedented capabilities to streamline and enhance data migration processes. By leveraging AI, medical insurance companies can not only expedite the migration process but also improve data accuracy, security, and overall system performance. However, the adoption of AI is not without its challenges and risks, making it crucial for organizations to weigh the pros and cons carefully.

How Can AI assist in Healthcare Claim Data Migrations?

Increased Efficiency

One of the most compelling benefits of using AI in data migration is the significant increase in efficiency. The vast amounts of rows and columns can quickly overwhelm an analytics team during a manual mapping migration.  AI-powered tools can process large volumes of data at a speed that far surpasses human capabilities. Machine learning algorithms, for instance, can quickly identify patterns and relationships within data sets, automating tasks that would otherwise require extensive manual effort.  The analytics team can also train the model to focus on parts of the business specifically.  If the migration is focusing on an Inpatient claim, the model can be trained on what is expected to migrate data that originated from a CMS 1450 and its valid values transformed to acceptable formats.   This not only speeds up the migration process but also frees up valuable human resources to focus on more strategic activities. 

Improved Data Accuracy

Data accuracy is paramount in the medical payer industry, where even minor errors can have significant repercussions with terabytes of data at risk. AI excels in this area by employing advanced algorithms to detect and correct errors during the migration process. For example, AI can identify inconsistencies and anomalies in data, such as duplicate records or missing provider data, and automatically rectify them. This ensures that the migrated data is accurate and reliable, ultimately leading to better decision-making and service delivery.

Scalability and Flexibility

AI-powered data migration solutions offer unparalleled scalability and flexibility. These systems can handle large volumes of data from multiple sources and adapt to various data types and formats. When an insurer migrates data, there can be many terabytes of data that need to be migrated.  Whether a company is dealing with structured data from database (analytical or transactional) or unstructured data from documents and emails, AI can efficiently manage the migration process. This scalability is particularly beneficial for medical insurance companies, which often deal with diverse and complex data sets including claims, marketing technology, geospatial, provider, member, broker, cost and more. 

Cost Savings

While the initial investment in AI technology may be substantial, the long-term cost savings are significant. AI reduces the need for extensive manual labor, lowering labor costs and minimizing the risk of costly errors. Additionally, by speeding up the migration process and improving data accuracy, AI helps avoid the financial repercussions of data-related issues. Another hard to quantify benefit is allowing staff to focus on areas and details that they would not otherwise have the luxury of diving into.  If an analyst solely focuses on building mapping one to one, they may not have time to dive into the statistics from the migration in detail.  If AI maps the data and staff are able to verify something as simple as procedure code and is presented with statistics during migration from the AI the true intelligence can produce a faster result that allows them to move on to more complex issues for a better migration experience. 

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The Limitations of AI

AI should not be implemented in all spaces and places during a migration.  Every medical insurance company has unique processes, data structures, and requirements. AI systems, particularly those that are not highly customizable, may struggle to adapt to specific needs. Human intervention is often required to tailor AI solutions to the unique context of the organization, ensuring that the migration process aligns with its specific goals and constraints.  Not to mention the cost of the lost learning or honing of skills that come with a migration of the size of a claim system. It is during migrations that members of a staff become SMEs in an organization simply because of the vast transfer of knowledge that occurs during the steps it takes to get from one system to another.  Ensure the organization has a way to capture and communicate learnings along the path of migration. 

Hakkōda’s AI-Backed Approach to Migrating Healthcare Insurance Data

The integration of AI into the data migration processes offers a transformative approach for payers. The benefits are numerous – from increased efficiency and improved data accuracy to scalability, and cost savings. As the medical insurance industry continues to evolve and adapt to new challenges, AI-powered data migration stands out as a powerful tool that can help companies navigate these changes with agility.

Embracing AI for data migration not only streamlines the process but also positions medical insurance companies for future success, ensuring that they can manage their data effectively and deliver superior services to their customers. The future of data migration in the medical insurance industry is undoubtedly bright, with AI acting as a powerful supplemental force to the true intelligence driving modernization success—people who understand the business and the needs it serves.

Hakkoda believes in the unstoppable potential of this combination. That’s why we’ve built our Healthcare and Life Sciences team with the explicit intention to marry deep industry experience with talent and tooling that span the modern data stack. Armed with AI-powered solutions and accelerators that bring automation and scale to the most grueling migration projects, our teams are committed to driving operational value for payers and providers alike. 

Ready to supercharge your healthcare claim data migration with a team that understands your pain points and the scalable force of AI? Let’s talk today.

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