Reimbursement Is Telemed's Biggest Obstacle - Office for the Advancement of Telehealth report - Brief Article

Health Management Technology, Sept, 2001

The Balanced Budget Act of 1997 authorized Medicare reimbursement for telemedicine, but restrictions precluded providers from taking advantage of the new policy, according to a new report from the Office for the Advancement of Telehealth. The office is an agency of the Department of Health and Human Services. Medicare paid just an average of $66 for each of the 301 claims filed from Jan. 1, 1999, through Sept. 30, 2000, according to the office's 2001 Report to Congress on Telemedicine. Legislation enacted in December, however, expanded eligibility requirements. Bureaucratic restrictions were credited with limiting much reimbursement of services and providers. According to the report, other barriers to increased telemedicine included privacy issues, legal issues, patient safety concerns, lack of standards and telecommunications infrastructure. For more information, visit http://telehealth.hrsa.gov/pubs/report2001.>