According to a recent report by Expertmarketresearch.com, the global electronic health records (EHR) market reached an estimated value of $33.8B in 2023. The market is anticipated to grow at a CAGR of 6% and reach an estimated value of $57.1B by 2032. Much of the growth is being driven by the demand for clinical research to gain insights and answers regarding the safety and effectiveness of drugs and other therapies.

One of the primary methods hospitals and health systems employ to commercialize their patient data is through strategic partnerships with data analytics/research firms such as Truveta or IQVIA.  The process typically involves a consortium of healthcare organizations pooling their patient health records.  The data firm then undertakes all necessary data analytics, including sorting, curating, sanitizing, storing, organizing, harmonizing, and other essential tasks to prepare the data for use.  Subsequently, the data company enters into a licensing agreement with an insurance or life sciences company for a negotiated amount.  In this arrangement, the data analytics firm typically retains approximately 70% of the licensing fee, while the consortium of hospitals/ health systems that contributed the data receives the remaining 30%.

It’s crucial to note that not all patient data files are created equal.  An electronic medical record (EMR) is a digital version of a person’s paper chart or medical record, capturing information from a single care provider’s office. It primarily includes patient data, diagnosis, and treatment. While available in electronic form, EMRs are essentially electronic replicas of a single care provider’s paper records.  On the other hand, an electronic health record (EHR), also known as a longitudinal record, is a more comprehensive medical record. It incorporates information from multiple healthcare providers and facilities involved in a patient’s care, designed to be shared across different healthcare settings for coordinated care.

EMR data is quite common and nearly commoditized, while EHRs include images such as X-rays, MRI, CT, and potentially other tests and data. For this reason, EHRs are considered more valuable than EMRs.

HVG has been involved in several FMV assignments for electronic health data. If you need an FMV assessment of your patient health records, schedule a call with us.