The Truth About Telemedicine Revenue and Reimbursement
Telemedicine programs are skyrocketing in
popularity with patients, providers and payers.
A recent Mordor Intelligence report predicts the
virtual health market will be a $66 billion-dollar
industry by 2021.
One factor fueling telemedicine’s success: its
versatility. Healthcare networks, businesses and
governments are using virtual health programs
to reach natural disaster survivors, reduce prison
care costs, assist veterans with PTSD and
treat Olympic athletes in real time. Clinicians
are improving healthcare outcomes from rural
Argentina to Zimbabwe villages. Telemedicine
is disrupting the healthcare industry by providing
data-driven, evidence-based medical expertise
to patients who otherwise would not receive it.
Yet while the power of virtual health is
transforming the market in measurable ways,
some providers and administrators are still
ambivalent about adoption. The most common
reason: fears of financial loss.
It’s true that in the early days of telemedicine,
some providers experienced difficulty getting
paid for their virtual services. But reimbursement
laws and policies have evolved. While rules
vary between states and health plans, providers
can be paid for telemedicine services and even
create new revenue streams. It’s just a matter
of understanding how to navigate the rules of
reimbursement.
