SOURCE: Enclarity Inc.

February 20, 2007 17:06 ET

Bad Data Is Good Business for Enclarity

High Cost of Provider Data Errors and HIPPA Mandate Heighten Demand for Healthcare-Focused Software Solutions and Spur Company Expansion

ALISO VIEJO, CA -- (MARKET WIRE) -- February 20, 2007 -- Enclarity Inc., a leading information management and analytic software company focused on the healthcare market, today announced the relocation of its development operations from suburban Golden Valley, Minn. to larger space in downtown Minneapolis. Inaccurate provider data, paired with the impending National Provider Identifier (NPI) mandate deadline have driven healthcare payers and pharmaceutical companies to seek advanced data verification and management solutions that will increase their productivity, decrease operational expenses and put them on the path to mandate compliance, creating greater demand for Enclarity products and services.

"We are tripling the size of our Minneapolis operation as a result of the tremendous demand for our hosted solutions," said Sean Downs, president and chief executive officer, Enclarity. "This expansion enables our development team to remain responsive to our customers while keeping pace with increased productivity."

Outdated or incorrect provider information costs healthcare payers more than $26 billion every year. Enclarity's advanced Software as a Service (SaaS) technologies eliminate erroneous and incomplete provider data. By leveraging proven techniques from financial services and healthcare, Enclarity has developed the industry standard for provider data accuracy and management, including cross-walking and indexing for the NPI mandate.

NPI is part of the Health Insurance Portability and Accountability Act of 1996 (HIPAA) for administrative simplification and privacy. By May 23, 2007, all healthcare providers who use HIPAA standard electronic transactions must have an NPI, and all healthcare payers must be able to use the NPI to identify providers in standard electronic transactions.

"Accurate provider data is critical to finding a doctor, paying claims and pharmaceutical marketing efforts," Downs said. "Unfortunately, provider demographic data is constantly changing with physicians moving, working from multiple office locations and other changes, resulting in more than 40 percent of the records having missing or inaccurate information. Enclarity has found a systematic way to fix the errors and keep up with the changes, creating significant demand for our services. We are like virus protection software for provider data."

About Enclarity

Enclarity™ is an information management and analytic software company focused on the healthcare and insurance payer market. Enclarity brings new solutions to the old problem of provider data errors by blending advanced technology, analytic science and sophisticated algorithms with ongoing telephonic verification. From keeping provider records correct and up-to-date with integrated solutions to helping businesses prepare for the National Provider Identifier (NPI) mandates, Enclarity dramatically improves the integrity and reliability of healthcare data. The company offers its customers Provider Data Integration (PDI) that is accurate, automated and actionable. Enclarity is the only solutions provider to offer legitimate rights to the use of its provider data.

Enclarity's proprietary Software as a Service (SAAS) technologies include AcuSync™ to provide the highest level of provider data accuracy; its Business Rules Engine to deliver customized output for actionable results; and the Enclarity Master Provider Referential Database, containing more than 40 million healthcare provider records, to assure accurate verification of provider data.

The privately held company is headquartered in Aliso Viejo, Calif. Enclarity's investment partners include Bain Capital Ventures and Ignition Partners. For more information, visit

Contact Information