Telehealth under alternative payment models

The post below originally ran on Milliman, Inc. on November 23.
Telehealth, as a modality of delivering healthcare services, is growing in terms of acceptance and adoption. There are a few key drivers for this dynamic: (1) consumer demand for convenient access to care; (2) availability of lower-cost telehealth technologies; (3) clinician comfort and willingness to provide certain services remotely; and (4) evolving payment models that seek to incentivize value and better population health.
Evolving payment models reflect the need to mitigate perverse incentives for the unnecessary healthcare utilization, waste, and inefficiencies that are inherent in a volume-based payment system, such as fee-for-service Medicare. Both private and public sector purchasers, such as Medicare, state Medicaid programs, and employers, are in the midst of testing and scaling alternative value-based models. Under these payment models, there are opportunities for telehealth adoption to the extent it encourages efficiencies in the system. Examples include:
Next Generation Accountable Care Organization (ACO) initiative: Allows participants to take on greater financial risk, as well as potential savings, than those in current Medicare ACO initiatives. Next Generation ACOs agree to be accountable for beneficiaries assigned to them and meet certain quality targets.

Implications for telehealth: Next Generation ACOs will have the flexibility to waive “originating site” coverage restrictions as well as ...

Source: Disruptive Women in Health Care - November 25, 2015 Category: Consumer Health News Authors: dw at disruptivewomen.net Tags: Innovation Technology Source Type: blogs