CHOOSE WISELY: Don't forget to do the research when recommending a telehealth provider

Telehealth is the distribution of health-related services via virtual technologies. Historically, telehealth has been a cost-effective and convenient method of treating certain medical conditions in a virtual environment rather than visiting an emergency room, urgent care clinic or a doctor’s office. The telehealth market is changing rapidly as evidenced by an expansion of services, increased adoption and company consolidation.

We saw boosts of telehealth use in 2009, and more recently, the COVID-19 pandemic brought behavioral health into the mainstream of this industry as employers sought to add services that address the effects of isolation, uncertainty, stress, anxiety and even depression.

Telehealth services can trace their origins back to the mid-1900s and even further back, to the time the telephone was invented. In 1948, the first radiological images were sent via telephone and in 1961, remote monitoring systems were used by the space program. These early innovations laid a foundation for telehealth and our modern healthcare system, and ultimately to the creation of the American Telemedicine Association in 1993.

The COVID-19 pandemic significantly raised customer awareness of telehealth services and the testament of its convenience has increased simultaneously. As the dust settles from the COVID-19 pandemic, telehealth is emerging as the commodity that it is, and value-add services are going to be the differentiating factors in an increasingly competitive marketplace. The current trend in the telehealth market is to add services such as virtual primary care, chronic care, remote patient monitoring, specialties and behavioral health.

Trends in telehealth are gaining momentum as the normality of its services increases. In the succeeding years, Beehive Insurance in Murray predicts that virtual care will become mainstream and ultimately replace the many in-person primary care appointments. With technology advancements and accessible tools online, there is less of a need to leave the house and more of an ability to hold appointments without stepping foot in a doctor’s office.

Knowing the predicted trends and the importance our clients already place on quality telehealth services, Beehive Insurance conducted thorough research into the telehealth market, its trends and the service providers who are emerging as best in class. Beehive’s research included an evaluation of eight prominent telehealth providers using 27 factors to find the best overall fit and value for their clients and employees.

This analysis was not focused on cost alone, but included a broader look at total value, quality of doctors, user satisfaction, technology platforms and innovation. They also looked for telehealth providers who excelled in engagement as measured by utilization and quality outcomes.

For purposes of defining the scope and analysis, these emerging services were placed into three categories: acute/episodic medical care, behavioral health and specialty care. The analysis gave higher value to those companies that have included or plan to include these services in the near term. Some telehealth providers offer solutions on a “stand-alone” basis while others bundle telehealth with tools for employee engagement, patient advocacy, virtual enrollment and medical and pharmacy transparency.

Beehive’s research found that pricing has become extremely competitive with most of the pricing risk being borne by the telehealth providers who set rates based on expected utilization. Some buyers in this market may prefer to share the pricing risk in exchange for a guaranteed return on investment (ROI). They found quality providers willing to put their fees at risk and guarantee an ROI. As services are added to the telehealth market, utilization is expected to increase and pricing models will change out of necessity. The expanding market will also draw further investment and drive additional consolidation.

The research also found that some telehealth providers display their use of technology as evidenced by engaging apps and websites but seemed to have forgotten that the real service they are providing is quality healthcare.

Following the initial evaluation using all 27 factors, the research team focused on a refined list of differentiating factors their clients value most. These factors included total value (did the price and quality of service provide overall value?), reporting capability (do reports track meaningful metrics?), ease of administration (is enrollment simple and error-free?) and innovation (is the telehealth provider looking for what’s next in the market?). The factors also included satisfaction ratings, employee engagement, technology, and the use of employee or contract doctors in their analysis.

After their evaluation, Beehive chose a preferred provider who will give its clients the best overall telehealth experience. Beehive recognizes that other providers may be a better fit for some businesses and recommends that similar research be performed by a trusted advisor before any company chooses a telehealth provider in this dynamic and competitive market. If done thoroughly, the time spent on research and evaluation will allow the employer to find solutions that offer the best services for their employees.

Mike Edmonds is the director of client services for Beehive Insurance in Sandy.