Managed Health Care is provided by HMOs (Health Maintenance Organizations). Historically, Health Insurance in the United States was through Indemnity Plans. The HMO concept has evolved over the last 15 years as a way to provide less expensive health coverage. The concept has gained in popularity mainly from employers who provide health insurance to their employees in the 1990s. The industry has grown quickly and at present about 25% of all health insurance members are in some sort of Managed Health Care program.
Traditionally insurance has been one of the largest users of Information Technology. This Industry is highly regulated and captures high volume of data. To process this high volume of data collected and maintain them for stipulated time, a high computing power becomes imminent. Though the primary information system is the OLTP system that runs the daily business, there are also support systems like the Data Warehousing System that helps in decision support, the Imaging system that scans all incoming documents for storage and retrieval. Also, since these companies are service oriented, response times become a crucial factor both to reduce cost and improve performance
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