TriZetto Inks Providence Health Plans

The TriZetto Group, Inc. , the Newport Beach, Calif-based healthcare ASP, today announced it has signed
a licensing agreement with Providence
Health Plans,
a provider serving more than one million members in Oregon and
southern Washington.

Under the agreement, Providence will use TriZetto’s Facets managed-care
administrative system, HealthWeb Internet platform, and new HIPAA Gateway product,
which receives, routes, stores and queries electronic transactions in compliance with the
Health Insurance Portability and Accountability Act of 1996 (HIPAA).

TriZetto says it will host and manage Providence’s current administrative software
while the new systems are being implemented,

According to Jack VanGraafeiland, chief information officer with Providence Health
Plans, TriZetto’s single-source strategy should prove an advantage for the managed
healthcare organization.

“We prefer to use one vendor for all of the IT applications to improve efficiency.
TriZetto’s pre-integrated systems are expected to reduce implementation time and the
technical challenges associated with integrating systems from disparate vendors,” he
says.

“TriZetto’s ability to host our current systems during the implementation process will
allow us to use our internal resources more effectively and to provide ample opportunity
for staff training.”

He explains that the solution it is providing Providence addresses IT concerns
currently faced by many healthcare firms, such as the need to upgrade to an
administrative system to handle HMO, PPO, Medicare and other diversified health plan
products; the demand from health plan members and providers to complete online
transactions; and the need to comply with HIPAA transaction and privacy rules.

“The challenges facing healthcare today are complex, like the industry itself,” says
Tony Bellomo, president of TriZetto’s HealtheWare unit.

“That’s why TriZetto’s focus on healthcare is so important. We understand our
customers’ business challenges and provide solutions to meet their long-term needs.”

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