Why Is Healthcare Reform So Complicated?

With all the activity and conversation around healthcare reform, I thought it would be useful to share this short, internal deck from one of our portfolio companies, Cardiogram, via their CEO Brandon Ballinger. It quickly summarizes historical context around why healthcare reform is so complicated, and provides useful framing for understanding the tradeoffs involved in costs, quality, access, and government involvement in healthcare reform … as well as why it’s so expensive.

Beyond the details of any specific healthcare reform plan, we will likely continue to see a shift towards value-based care as well as new ways for people to access information about and manage their own healthcare.

And while changing regulations present both new challenges and new opportunities, evergreen key considerations for companies building successful new products/services in this space include: finding product-market fit; barriers to entry in the form of network effects or data network effects; and go-to-market plans that connect innovations with the right customer — whether payer, provider, or patient.