How advisors can help scale telemedicine utilization to save money and meet employee needs

Telemedicine  offerings as part of comprehensive health care plans grew over the last decade, as advisors worked with employers to keep health care costs down while meeting the varied and changing needs of employees. However, by 2018, only 2% of the employee population covered by telemedicine actually utilized the service. The widespread underuse of telemed offerings seemed like wasted health care dollars that could have been better utilized elsewhere.

The explosion of COVID-19 in the United States has changed the health care landscape as we know it — and telemedicine is no exception. There has been an unprecedented rise in telemedicine utilization throughout 2020. Innovu tracked a 2,100% increase in telemed use through May of 2020. While that number dipped recently as in-person visits rose over the summer, due to ongoing waves of COVID-19 and flu, advisors and employers should continue to encourage employees to use telemedicine services whenever possible.‍

Why telemedicine matters

With a lower cost per visit than traditional office visits and more comfort and safety for patients and providers alike, using telemedicine for common colds, ailments, dermatology, and therapy, can save employers and employees time and money.

Advisors should reinforce the need for employers to review their telemedicine utilization and create a plan to boost these services throughout the fall and winter. Employees who use virtual visits have been shown to avoid higher-cost alternatives, such as the emergency room. They also enjoy less time in waiting rooms and fewer copayments and out-of-pocket costs. For employers, this translates into less expensive claims and a reduction in the amount of time employees are away from work.

Related: How telehealth is helping underserved communities tackle a critical issue: Mental health

Led by advisor input, with the right application, telemedicine can keep employees and their dependents both safe and healthy while saving companies valuable dollars. A clear win/win in these uncertain times.

Deborah Partsch is the Chief Pharmacy Officer of Innovu, the industry leader in healthcare data analytics. With over 25 years of consultative, clinical pharmacy experience, she understands the importance of integrating data across all benefit programs to identify true program cost drivers for managing an employer’s human capital risk.