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This costs Medicare about $17 billion a year. More recent statistics show that 15 percent of Medicare patients - who generally require the most care and consume the most healthcare resources - are readmitted to hospitals for unplanned treatment within 30 days of discharge. In 2011, there were about 3.3 million 30-day hospital readmissions in the U.S., a figure associated with more than $40 billion in healthcare costs. This support is highly encouraging, as RPM has the potential to address this country’s $40 billion problem - unplanned hospital readmissions of patients whose conditions deteriorate soon after treatment. With these moves, CMS has lent strong credibility to the use of RPM, and its support will help drive continued innovation. It has also taken a step toward considering RPM when it determines future payment rates. In a recent rule, CMS highlighted numerous studies that point out the potential benefits of RPM in reducing costs, decreasing re-hospitalization rates and improving outcomes. This includes one of the most promising technological solutions to emerge so far, remote patient monitoring (RPM), which harnesses the Internet of Things (IoT) to enable quality patient care outside a hospital setting.ĬMS defines RPM as the collection of physiologic data (for example, oxygen saturation, blood pressure, glucose monitoring) digitally stored and/or transmitted by the patient and/or caregiver to the home health aide (HHA). Recognizing this new reality, the Centers for Medicare & Medicaid Services (CMS) is incentivizing innovation. Innovation is called for, bringing together new technology with innovative healthcare delivery models. Traditional practices are no longer enough. The challenge is enormous: How can healthcare providers deliver quality patient care while operating with ever-tighter budgets? At the same time, they’re facing continuing shifts to value-based reimbursement. On one hand, providers are encountering soaring costs and growing demand for medical care from an aging population. The financial pressures on the healthcare industry are intensifying.













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