The White House has announced a new program aimed at centralizing patient health data, engaging major technology companies such as Google, Amazon, and Apple in this venture. In response to this initiative, major concern erupted in Canada. Everyone from advocates to health IT experts worry that U.S. access to health records will increase because of legacy privacy laws and the employment of foreign cloud services. Health data security in Canada ‘threatened’ by Bill C-27, say experts. This presents alarming dangers to patient privacy and the nation’s health security.
The U.S. government is doubling down on improving its use of healthcare data. Here’s the rub — Canadian clinics and hospitals have no choice but to use software developed by U.S. companies. Health data would be securely encrypted and stored in Canada. Nonetheless, because these servers are foreign-owned, Canadian data could be subject to American laws. The CLOUD Act, passed into law in 2018, strengthens U.S. authorities’ ability to compel companies to surrender customer data. This is true even where the data in question is stored on Canadian servers, raising alarm over potential foreign unauthorized access.
Implications of U.S. Policies on Canadian Health Data
Experts caution that electronic medical records managed by U.S. tech firms could be at risk of seizure by a government that has become increasingly hostile. The implications of this scenario are critical for Canadian patients and healthcare providers as well. Without enforceable privacy legislation, Canada is paving the way to inevitable foreign control of Canadians’ health data. Creating a Canadian-specific cloud infrastructure will be necessary to protect this information from U.S. interests as well.
Developing these policies would give rise to a strong potential pipeline. If this is the case, it could make it easier for U.S. investigators or commercial actors to obtain sensitive health information. Canada needs to urgently start over on its data privacy framework. Let’s make it a priority to secure stronger protections for citizens’ health information.
The Tensions Between U.S. and Canadian Healthcare Systems
Data privacy concerns are growing. At the same time, the current U.S. public discussion surrounding vaccine compensation adds a layer of complication. U.S. Health Secretary Robert F. Kennedy Jr. has spent years advocating to reform the VICP. This program, established way back in 1986, was designed to protect vaccine markets by moving liability claims away from the manufacturers and providers and into a no-fault compensation system funded by taxpayers.
This program protects manufacturers from direct liability. It is in sharp contrast with how much Canada spends on drug pricing and compensation for adverse vaccine effects. Canada’s drug pricing architecture, regulated through the Patented Medicine Prices Review Board (PMPRB), has direct effects on the viability of any federal pharmacare plan. Its efficacy is important for maintaining accessible, affordable medications for all Canadians. If in response to pressure from U.S. policymakers or pharmaceutical interests, Canada substantially weakens its PMPRB regulations, this could fundamentally undermine the financial viability of a national pharmacare program. This action could threaten major healthcare progress.
The Future of Pharmacare in Canada
How U.S. healthcare policies coincide with Canadian drug pricing adds more question marks to the fate of pharmacare in the Great White North. As a bonus, he called on foreign drug makers to jack up American prices across the board. This proposal has spooked Canadian policymakers who fear the precedent that would be set for their drug costs. This strategy would put further economic pressure on Canada’s capacity to control its drug costs.
Ontario’s recent proposed legislation would prohibit exclusivity deals between insurers and pharmacies. The insurance industry says they have doubts about this shift. They claim that these rules would increase prices for drug coverage. This will be felt most acutely by patients who require medicines for orphan diseases. This political and economic landscape creates serious challenges for the successful implementation of a sustainable, equitable pharmacare plan in Canada.
