Modernizing Healthcare Communications with Cloud Fax

The following is a guest article by Tim Armstrong, Head of Product Management at Retarus

Throughout the healthcare industry’s digital transformation revolution, fax servers have remained a staple due to their reliability, interoperability, and regulatory necessity. However, traditional fax servers come with hidden risks, inefficiencies, and vulnerabilities. Under HIPAA compliance, healthcare organizations must ensure that all communications, including fax, are secure and meet stringent standards. By modernizing these systems with cloud-based solutions, healthcare organizations can find a balance between HIPAA compliance and operational efficiency.

The Need for Change

While many organizations have hesitated to move away from fax servers due to concerns about cloud compliance, there are a multitude of other reasons why an organization may want to make the switch. The high costs of maintaining on-premises fax servers, averaging $6.9 million annually, could render legacy systems nearly obsolete when compared to the significantly lower cost of $1.9 million annually for cloud fax services. 

On-premises fax servers not only incur higher costs but also require regular updates and constant monitoring to ensure compliance with data protection standards. IT staff spend multiple hours each month managing fax servers, troubleshooting issues, performing regular maintenance checks, and monitoring system performance. This upkeep strains IT resources that could otherwise focus on more strategic initiatives. As healthcare communications continue to evolve, organizations must prioritize digital transformation to ensure efficient use of IT teams and compliant data management.

HIPAA Compliance Meets Cloud Fax

While the need for change seems clear, many healthcare organizations have an “if it ain’t broke, don’t fix it” mentality regarding compliance. Under HIPAA, healthcare providers must maintain strict controls over patient data during both transmission and storage. Fortunately, cloud-based fax systems can fulfill HIPAA’s requirements just as well as fax servers have, but with a multitude of additional benefits. Cloud fax systems offer built-in safeguards, such as encrypted transmissions, restricted access, and audit-ready logs, creating a strong framework for protecting patient information. These security measures decrease the risk of data loss, ensuring patients’ private health information remains protected. 

Although change is slow, more medical practices and hospitals in the U.S. are adopting cloud faxing when exchanging patient records. In 2021, more than 60% of hospitals engaged in electronic sharing of health information and integrating summary of care records into electronic health records —a 51% increase since 2017. This ongoing shift demonstrates the growing trust in cloud-based solutions to ensure compliance and improve efficiency in healthcare communications.

Operational Benefits Beyond Compliance

While regulatory compliance is a key consideration for healthcare organizations, cloud fax also offers many operational advantages. Maintaining hardware-dependent fax servers is costly and requires specialized technicians, as the equipment is aging and less accessible for general repair. Cloud fax reduces telephony and maintenance expenses by eliminating the need for on-premises fax hardware, further lifting the burden from IT teams to focus on higher-value tasks. Additionally, neglecting fax server maintenance can lead to system failures, causing disruptions and additional expenses, whereas cloud fax reduces hardware needs and integrates well with enterprise applications such as ERP and CRM systems. 

The adaptability of cloud fax is essential in healthcare, where operational growth requires robust, reliable support and scalability. Traditional fax servers are limited in their capacity, and for healthcare providers, a missed fax could delay authorizations or disrupt communications with pharmacies, negatively impacting patient care. Cloud-based fax solutions are scalable and allow organizations to manage high communication volumes seamlessly and without fail, even during peak periods.

The Future of Compliant, Efficient Communication

For an industry grappling with resource limitations and growing patient demands, adopting secure, cloud-based communication systems like cloud fax is not only a cost-effective choice but a strategic one. Cloud fax is essential for scaling an organization without risking compliance and operational efficiency. It offers a secure alternative to traditional fax servers, allowing for a modernized approach to healthcare communications without risking efficiency. The future of healthcare is the cloud, and organizations that fail to modernize throughout their tech stack risk missing opportunities for innovation, ultimately compromising their competitive edge in a rapidly transforming industry.

About Tim Armstrong

Tim Armstrong is Retarus’ Head of Product Management, Messaging and has a wealth of experience at Retarus and in global B2B software. At Retarus, Tim has held the positions of Head of Marketing and Chief of Staff. Previously, Tim worked at NICE and helped to lead their Go-to-Market efforts in their Trade Floor Compliance business.