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Telehealth On The Rise

November 4, 2009

Telehealth On The Rise

Do you remember when physicians regularly arrived on a patient's doorstep, black bag in hand, ready to provide on-site medical treatment? Probably not. This practice is more readily associated with a bygone era than it is with modern day medicine. However, recent advancements in telehealth have contributed to a resurgence in doctor house calls — well, at least virtual house calls anyway.

Telehealth can be defined as healthcare services and solutions delivered via the use of telecommunications, wireless, and mobile technologies. Telehealth applications not only include doctor/patient video conferencing sessions, but also use of smart phones and tablet computers to remotely consult and monitor patients, wearable wireless biosensors, and/or wireless chronic disease monitoring devices.

According to several recent industry studies, interest in and use of telehealth solutions is on the rise in the United States and throughout the world. For example, a 2009 study by ABI Research titled "Wireless Telehealth" predicts that approximately 15 million wireless telehealth systems will be deployed by early 2012. Remote patient management, personal emergency response systems, ambient assisted living, and mobile personal monitoring technologies were ranked among the most popular systems to be implemented, particularly in aid of home health treatment.

Likewise, a recent report by independent market analyst Datamonitor predicts the home telehealth market will grow at a five-year compound annual growth rate of 56%, compared to 9.9% growth in the clinical market. As a result, the report estimates that the overall global telehealth market will exceed $8 billion by 2012. The report claims that an aging population — coupled with the shortage of healthcare providers — are leading drivers of telehealth adoption.

Telehealth Pros And Cons
Advocates for telehealth argue that these technologies (particularly remote monitoring applications) can be instrumental in improving patient outcomes and reducing the number of visits a patient needs to make to the hospital. This is particularly true for patients with chronic conditions such as diabetes, and patients that live in remote areas that are underserved by healthcare specialists. For example, according to a 2009 Harris Interactive Poll titled "Taking America's Pulse On Mobile Healthcare," 35% of general practitioners and 49% of healthcare specialists surveyed indicated that mobile healthcare was either absolutely essential or very necessary to improve the quality of care for patients with chronic diseases. Likewise, 34% of general practitioners and 39% of specialists felt the same way about the importance of mobile healthcare for patients in rural areas.

However, while many physicians realize the potential value telehealth solutions can deliver, some steer clear of the technology based on the cost, privacy, and security questions that surround telehealth. For example, coverage for telehealth solutions by private insurers and Medicare/Medicaid is sketchy at best. With unclear insurance reimbursement guidelines for telehealth, many hospitals, physicians, and patients alike are unwilling to invest in these technology applications because of the costs they will have to incur. Similarly, according to the Harris Interactive poll 45% of the general U.S. population 39% of general practitioners have strong concerns that telehealth solutions may compromise the privacy and integrity of medical records or other patient information.

Hope in addressing these concerns has emerged this year, at least on the financial side of the equation. For instance, the federal government's stimulus package included $6 billion for telehealth initiatives. Furthermore, several healthcare industry organizations are pushing for telehealth funding and Medicare payment standards to be included as part of the nation's health reform legislation. If a reform package is passed that includes these provisions, it will go a long way to accelerating the adoption of telehealth throughout the country.

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