Genomics is bringing in a new wave of money from an unlikely group of investors — health systems.
More providers are investing in genomics programs to get insights into at-risk populations so they can then develop treatment plans and adopt tailored therapies.
Related: Why health systems are buying into genomics
Systems aren't playing just the long game. Some executives expect genomics — using information about a person's genetic disposition as part of their clinical care — to start paying financial and operational dividends immediately. However, the success of these programs depends on variables, such as participation, that are largely out of their control.
Parkview Regional Medical Center joined a precision research network led by Helix, a genomics company that provides genetic testing and analysis to health systems, in February. Through the five-year, multimillion-dollar investment, the 14-hospital system based in Fort Wayne, Indiana, will use Helix’s genomics platform to better understand which patients are at risk for certain diseases such as breast cancer and heart disease.
Offering the genetic testing and analysis services will give Parkview a competitive advantage, said Dr. Michael Mirro, the health system's chief academic research officer.
“This investment expands our new patient database and extends our geographical reach,” Mirro said. “When patients realize in our region that we have this platform available to them and their families, they will be attracted to this.”
More health systems are similarly investing in genomics programs because of advancements in technology, increasing amounts of evidence on the benefits of genetic testing, the promise of developing new therapies tailored to specific patient populations and the ability to generate positive financial returns.
Genomics programs no longer are viewed as philanthropy-funded initiatives that health system executives hope will one day work, said Dr. James Lu, CEO and co-founder of Helix.
“We're largely at an inflection point now where it's pretty clear we can generate positive ROI on these programs in a time frame that's relevant to these health systems at all scales,” Lu said. “It’s not a matter anymore of health systems saying, ‘This is so expensive and so crazy that we just can't do it.’ Now it’s very much a question of, 'What year do I do this?’”
A case in point: In January, 17 health systems, pharmaceutical company Regeneron and gene-sequencing equipment maker Illumina took a $320 million equity stake in Truveta, a medical data analytics company. The health systems, which include Advocate Health, Providence, CommonSpirit Health and Trinity Health, invested $180 million.
At the heart of the deal was the launch of the Truveta Genome Project. The project aims to create the largest database of genetic information in the U.S., which could be used to generate insights into patient populations and potentially develop new therapies.
Livonia, Michigan-based Trinity Health could see a potential return on its investment if drug and research companies want to license Trinity's data for their own work, said President and CEO Michael Slubowski. The true benefit, though, will be the creation of new cell and gene therapies that provide personalized medicine, he said.
“It really is an opportunity for us to transform care,” Slubowski said. “If there's some reimbursement that ends up as a result of these partnerships with external organizations that want to pay for the data, and we get a little share of that, then that's great.”
As part of Helix’s network, Parkview and other organizations are sending de-identified patient data to a database that will identify trends within their patient populations. The safety-net system, which serves a heavy Medicaid population in Indiana and Ohio that has high levels of obesity, smoking and maternal and infant mortality, is looking to use the insights to improve outcomes and lower the cost of care, Mirro said.
“You have at-risk patients who have those [genetic] mutations," Mirro said. "If they get more and frequent preventive testing, insurance companies will cover testing if they have an inheritable disease like breast cancer. If we get it presented early, we obviously have a better chance of curing them and avoiding all of the downstream impact for the patient's health and the cost of care.”
And therein lies the challenge to making these efforts work — participation from diverse patient populations.
Creating a database of genetic data requires patients to consent to using their discarded blood for the research. Organizations that have invested in genomics say educating patients and providers about the initiatives is critical to its success.
Rochester Regional Health, a nine-hospital system in upstate New York, joined Helix's network in February. CEO Richard “Chip” Davis said the system plans to roll out the genomics initiative in the next six months and there will be a heavy emphasis on getting patients and providers on board through upfront conversations that directly address their concerns.
Educating patients on the importance of genomics is particularly important for underrepresented minorities who might be leery of the health system, Davis said. On the provider side, he said there has been early enthusiasm from physicians but there are concerns on patient privacy.
“We are going to have to focus with our patients on really making sure both from an ethical and a consent standpoint, that they really understand the value proposition of participating in this and telling them how this information is going to be used,” Davis said.
Bobbie Byrne, chief information officer at Advocate, agreed. “We’re a big system but we’re not big enough to do this alone,” Byrne said. “We need the information from Providence, CommonSpirit, Northwell. You don't need 6 million or 10 million, you need over 100 million patients to get some of these insights.”
Correction: An earlier version of this story incorrectly identified Michael Slubowski as president and chief operating officer of Trinity Health.
