[February 25, 2011] TriZetto Acquires Gateway EDI Tweet Feb 25, 2011 (Close-Up Media via COMTEX) -- The TriZetto Group announced it has signed an agreement to acquire privately held Gateway EDI, a healthcare revenue cycle management (RCM) company that gives more than 70,000 physicians solutions for getting paid more accurately. According to TriZetto, terms of the transaction were not disclosed. The CEOs of both companies said the deal is historic for providers and health plans alike because it brings together two companies in the industry in providing healthcare IT software and services to deliver integrated end-to-end real-time payment information. This new payer-provider connectivity will drive enhanced work-flow processes and cost reduction across the industry. The combined platforms of the two companies will give providers direct real-time access to payment information for almost half of the insured U.S. population, which is served by TriZetto systems. "This acquisition is an industry game-changer and will shape the future of healthcare," said Trace Devanny, TriZetto's CEO. "Our combined solutions will transform today's payment processing from batch to real-time communications, reducing expenses for both payers and providers. Connecting the providers who deliver care, in real time, with the health plans that pay for the care will help eliminate the remaining waste, paperwork and phone traffic inherent in today's fragmented system." "In 2009, the healthcare industry spent $150 billion on billing and insurance-related administrative costs," said Timothy Fogerty, Gateway EDI's CEO. "By increasing collaboration and communications between providers and payers, we can decrease inefficiencies that lead to such high costs, resulting in more resources to deliver high-quality care and better value to patients. We are excited to be able to offer this new capability to our more than 300 practice management system and electronic health record partners." TriZetto further noted it will invest significant resources to integrate the two companies' platforms and develop connectivity solutions that strengthen payment processing and care-collaboration programs. TriZetto's current Provider POS Direct application presents an immediate opportunity for payer organizations, offering real-time claims estimation and adjudication at the point of service in practitioners' offices. Integrated, expanded solutions will follow over the next year, initially in markets where the two companies have a critical mass of payer and provider customers. TriZetto intends to operate Gateway EDI as an independent subsidiary, with Gateway EDI's current leadership team continuing to run its operations. ((Comments on this story may be sent to [email protected])) [ Back To TMCnet.com's Homepage ]