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Public Policy: Federal Telehealth Legislation Aims to Expand Coverage

The U.S. Congress is set to look at a new approach to telehealth via a bill that would waive restrictions on Medicare telehealth coverage by amending provisions in the Social Security Act that have limited telehealth reimbursement.

A bipartisan group of U.S. Senators led by Brian Schatz (D-HI) has introduced S. 2484, a bill named “Creating Opportunities Now for Necessary and Effective Care Technologies (CONNECT) for Health Act.” The bill seeks to remove certain restrictions on telehealth to increase access to healthcare and promote cost savings.

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The bill’s language addresses three major components. First, it would establish a “bridge program” that allows physicians participating in the Merit-based Incentive Payment System (MIPS) to apply for “demonstration waivers” that would exempt them from restrictions currently imposed by Medicare on telehealth coverage. In order to receive a waiver, providers will submit an application detailing how they plan to use telehealth. Such providers will be subject to random audits to assess whether they are using technology in a way that’s consistent with the goals of MIPS. Second, those participating in alternative payment models such as Alternative Care Organizations would have an automatic exemption from those restrictions. And third, the bill would expand the coverage of remote patient monitoring technologies for patients with chronic conditions.

In addition, telehealth reimbursement options would be expanded for non-hospital sites including telestroke evaluation and management sites, Native American health service facilities, dialysis facilities, community health centers, and rural health clinics.

Quoted on an article at MobiHealthNews.com, “Telehealth is the future of healthcare,” Schatz said in a statement. “It saves money and improves health outcomes. Our bipartisan bill puts us on a path to transform healthcare delivery, making it less costly and more convenient for patients and providers.”

Introduced in February by a coalition of six senators and three representatives, the bill has the support of the American Medical Association, the American Telemedicine Association, and a number of other industry groups, health systems, and technology vendors. The bill is currently awaiting a hearing in the Senate Finance committee.