[Column] Regulations hindering healthcare IT development

President Ji Young Ho of Chungji Healthcare Logistics Research Institute (Doctorate in Healthcare Logistics)

Dr.

 

Ji Young Ho

People say ‘data is petroleum of the future.’ ‘Big Data’ is the key resource and product of data economics and digital economics, but also is a key factor deciding the state competitiveness.

 

With the recently passed Three Data Bills, anonymous information system has been adopted and obfuscated data incorporation between companies or public institutes via security specialist agency have been stipulated.

 

While the anticipation on increasing number of high value-added businesses created from data value chain model (generate, collect, analyze, apply), the table would turn for the government’s D-N-A (Data, Network and AI)-focused sectors and emerging industries like, system semiconductor, biohealth, and future car.

 

◆"Three Big Data Economics Bills legislated, importance of healthcare big data emphasized" The Three Big Data Economics Bills mean three bills stipulating data utilization by revising ‘Personal Information Protection Act,’ ‘Act on Promotion of Information and Communications Network Utilization and Information Protection, etc.

 

(Information and Communication Network Act),’ and ‘Credit Information Use and Protection Act (Credit Information Act).’ The three laws have different government ministries and agencies in charge, so the bills were introduced to remove overlapping regulation and expand scope of information utilization for private and corporate use to accommodate the Fourth Industrial Revolution era.

 

Korea has Mandatory Electronic Record Archiving System that requires all medical record, including patient’s personal information, medical history, hospitalizations record, to be databased digitally.

 

Therefore, vast amount of health insurance database, medical check-up database and hospital medical information are already available.

 

However, the vast amount of medical data were not allowed to be utilized, and even surveying and analyzing personal medical data for research purpose was heavily regulated by Personal Information Protection Act.

 

As a result, using personal medical information for healthcare management was impossible.

 

Ministry of Health and Welfare’s (MOHW) healthcare big data platform has been established in September 2019.

 

And the ministry plans to use the platform to obfuscate medical data like disease prevalence, prescription, insurance reimbursement claim, and patient data collected from respective healthcare institutes by removing names and making them unidentifiable.

 

◆ The rise of My Data to change pharmaceutical industry paradigm People use credit cards to pay for snacks and a cup of coffee at a convenient store.

 

As soon as the card slides down the machine, their purchasing data is transferred to the credit card company and used to analyze consumers’ purchasing tendency.

 

And the company giving back the personal data collected to individuals is called ‘My Data.’ According to industry source, when the Credit Information Act revision is finalized, the industry would be able to actively use the My Data system.

 

My Data could be used for healthcare sector.

 

Upon patient’s request, hospitals would use patient’s diagnosis record for medical practice without requesting for consent from the archiving institute.

 

For instance, the system could minimize the inconvenience of a patient hauling medical document from a healthcare institute to another.

 

For such purpose, My Data online portal website would be opened and managed by healthcare related public institute.

 

These days, AI and big data have been the biggest topics in pharmaceutical and bio industries.

 

The industry expects the technologies to reduce development period of a breakthrough investigational drug by four to five years, and also to significantly lower the development cost.

 

This is why the affected companies are welcoming the Three Data Bills stipulating use of medical big data in Korea.

 

In fact, the pharmaceutical and bio markets are eyeing on Korean and global venture and start-ups with technology to dramatically shorten the period from candidate medicine exploration to pre-clinical trial phase.

 

And some predicts these technologies could make a breakthrough for struggling small and medium enterprises.

 

"Healthcare regulations should be alleviated with the Three Data Bills " Pharmaceutical and bio industries are carefully anticipating that the legislated Three Data Bills would mark a turning point for the healthcare AI technology development by accessing to the vast amount of medical big data in Korea.

 

Besides increasing AI-based development of new drug, interest on venture and start-up companies developing AI platform would also surge as well.

 

After overcoming Three Data Bills, other regulations should be reformed and broken down.

 

The most urgent regulation is restriction on telemedicine.

 

Naver has initiated telemedicine business in Japan with a Japanese partner company.

 

The government should stop watching Korean companies spreading their wings of new business in other countries as they have been crippled in Korea.

 

And rather, the government should stand up against opposing medical industry and privileged groups.

 

High-quality emerging industry could be found and developed into an exporting industry, when converging the world class medical technology and IT technology.

 

It is difficult to comprehend why Korean telemedicine should be shut off when other surrounding Asian countries have already opened their minds to the idea.

 

Pharmaceutical sector would also experience a series of changes.

 

Using AI technology for literature review, and analysis on genetic or patent information could speed up the candidate medicine exploring phase.

 

There is already a new market providing personalized service based on personal health record and lifestyle information.

 

A company could generate profit from the market as well by utilizing anonymous information, collected database and additional big data together.

 

Regardless of the Three Data Bills, the medical data-using industry cannot guarantee an accelerated growth.

 

Actually, a bigger problem is in the Medical Service Act banning individuals from using their personal health records on demand.

 

The law should be amended to have healthcare institutes to digitally share information on patient and healthcare institutes.

 

As the economic recession worsens, emerging industry and future growth engine should be tended.

 

Regulations strapping down emerging industry should be reformed assertively.

 

Reinforce support and give investment opportunities to ventures and start-ups to present them with hopes in emerging industries.