Payers began reimbursing for RPM and Telehealth so physicians can provide better care and lower the overall cost of care by improving health and intervening early when health starts to decline, before patients end up in the hospital.
To get this benefit, physicians must identify and monitor the patients who are likely to end up in the hospital. These are the sickest patients. We can identify them by seeing which patients spend the most money. This is like trying to drive a car by looking in the rear view mirror. Claims information on who spent the most money is at least three months old. Furthermore the top 10% change every year.
An alternative approach is to monitor patients with multiple chronic illnesses. People with 6 or more chronic conditions make up 14% of the Medicare population and account for 46% of all Medicare spending. One strategy to generate savings would be to monitor the patients with 6 or more chronic conditions. There are other approaches to saving money using RPM. All of them involve monitoring large numbers of patients, so monitoring efficiency is important.