For clinics and hospitals struggling to raise their bottom line amid the unprecedented economic times we find ourselves in, remote patient monitoring solutions (RPMs) have tremendous financial potential. More healthcare providers are starting to realize the opportunities they can harness, with research by PRN predicting that 75% of hospitals will adopt RPM in the coming 5 years. But how exactly can remote patient monitoring raise revenue for your facility? Wonder no more.
- RPM can increase care facility capacity
In recent times, especially due to the urgency brought about by the recent pandemic, it’s common for most hospitals and clinics to operate at full or near-full capacity day in, day out.
Patients have had to be turned away, as these healthcare facilities don’t have the infrastructural capacity to manage during times of surge. Consequently, hospitals lose a lot of revenue to redirected admissions.
With remote patient monitoring, providers can increase their patient capacity without even having to break ground. RPM enables the digital expansion of services, allowing clinics and hospitals to reach patients beyond the establishment’s physical capacity. The result is:
- More timely and personalized care
- More patient admissions beyond occupancy limitations
- Increased revenue streams from surplus virtual capacity
Additionally, as care facilities are able to manage acute cases remotely, this frees up physical resources for more in-person admissions, which raises income.
- The range of clientele widens beyond geographical borders
Traditionally, hospitals and clinics generally serve patients within a certain jurisdiction and that has been the order of business since time immemorial. After all, it would make little sense for patients to traverse thousands of miles to access a healthcare facility if there’s a capable one in their vicinity.
A remote patient monitoring service breaks down these challenges, enabling hospitals and clinics to increase their market beyond their geographical reach. The same way a website works to give an eCommerce business country and worldwide scope, RPM enables healthcare service delivery to serve patients states away with the same effectiveness as brick-and-mortar care.
Beyond shattering geographical limitations, RPM also gives healthcare providers access to multiple patient domains. Thanks to telemedicine, smart hospitals and clinics can now serve:
- Chronically ill patients
- Accident victims
- Emergency patients
- Premature children
- Elderly citizens, and more
With increased possibilities for new leads, and expanded market size, increased profits are sure to follow.
- New revenue streams for the practice via reimbursements
Interactions on remote patient monitoring platforms can count toward billable hours, allowing facilities to tap into revenue streams that they couldn’t have accessed without the technology. From text messaging to many more RPM interactions, hospitals and clinics can unearth new revenue opportunities. Let’s take into account the Medicare reimbursement program to put a specific number to this concept:
- Enrollment payment: First-time enrollments, covering RPM technology setup and education, allow care facilities to claim $21 per new patient
- RPM device management and patient data monitoring qualify for monthly reimbursements of $64
- When communication between patient and physician lasts no more than 20 minutes, Medicare reimburses $55 each month.
- For communication lengths between 20-40 minutes, there’s an extra $44 in it per month for caregivers, and another additional $44 to earn from communication spans between 40 minutes to 1 hour. Anything beyond 60 minutes is capped off, to ensure facilities can make at most $143 per month through patient-doctor communication via RPM technology
These numbers are nothing to scoff at, and let’s work out the total to prove it. The possible earning total from RPM reimbursements from Medicare stands at $228 per beneficiary. However, most caregivers often log in just about 20 minutes of communication with patients, which translates to $150 per patient per month. If you enroll 50 patients in your RPM program, you’re looking at an additional $90,000 to add to your bottom line.
- Reduced expenses to further raise profit margins
Experts predict that, within the next 2 decades or so, RPM, in conjunction with EHR systems, could help the healthcare sector to save up to $700 billion, and it’s easy to why.
By reducing in-person visits as care management transitions to a remote model, for example, hospitals and clinics can reduce or completely do away with certain associated costs regarding supplies such as:
- Other standard items used up during visits
As care facilities don’t burn through their supplies as quickly as would be the case without RPM, expenses go down which makes room for a higher profit margin.
What’s more, the right digital healthcare solutions can reduce patient no-shows and the lost revenue that comes with it, through alerts and reminders that ensure patients keep up with their appointments.
For facilities keen on creating a more positive cash flow, remote patient monitoring is the way to go. From RPM medical reimbursements and improving appointment attendance to allowing facilities to operate beyond capacity and tap into new markets, the financial potential is as clear as daylight. Want to partner with the best remote patient monitoring solution providers to raise your revenue while lowering your costs? Aura Health Solutions is your best shot at multiplying your revenue streams and your practice’s profitability. Visit the Aura Health website to schedule a call.