Report: Telehealth Expansion in California May Save Up to $408M Annually

A report (pdf) by the Blue Sky Consulting Group for the Center for Connected Health Policy estimated that California's telehealth expansion bill, which is now approved, would generate a total general fund savings of up to $408 million annually.

Expanded telehealth can reduce healthcare costs by eliminating transportation costs, decreasing hospitalizations and increasing access to care, according to the report. The reported noted that although the literature is inconclusive on the cost-effectiveness of telehealth, published studies suggests telehealth for home monitoring of chronic diseases can save costs.

The Blue Sky Consulting Group used the results from published literature to estimate the potential cost savings to California's Medi-Cal program of using telehealth for home monitoring of heart failure and diabetes. They estimated a total general fund savings of up to $281 million for diabetes and up to $127 million for heart failure.

Related Articles on Telehealth:

California Gov. Jerry Brown Signs Bill to Expand Telehealth Services
Hospitals in San Bernardino, California Receive $400k for Telehealth Program

Ohio State University Medical Center Expands Telestroke Services

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