Medicare Beneficiaries Could Lose Access to Some Benefits By End of Year

Roughly 67 million Americans are set to lose some of their Medicare benefits by the end of the year.

Unless Congress acts, telehealth services are scheduled to expire by the end of the year, potentially impacting 5 percent of Medicare’s outpatient visits.

That could mean 67.4 million Americans will see their healthcare affected.

Telehealth has surged in popularity since the pandemic, but now is an added option for flexibility at healthcare organizations across the country.

Mental health therapy, dermatologist appointments and primary care doctor visits are all routinely scheduled via telehealth now.

“Telehealth has become an integral part of the healthcare system especially when it comes to access to care,” Smile Insurance Group CEO Chris Fong told Newsweek.

“The ability to utilize telehealth stemmed in large part due to the Covid-19 pandemic and had the highest utilization during that time. Since then, the utilization has gone down but is continued to be used by people in rural areas where access to providers is limited and people who rely on having weekly mental health telehealth appointments.”

So far, the House of Representatives has pushed the Telehealth Modernization Act of 2024 out of committee. If passed, the telehealth services would be extended by two years.

Alex Beene, a financial literacy instructor for the University of Tennessee, said there needs to be a larger solution to the telehealth service dilemma than just an extension though.

“In recent years, telehealth has been crucial to providing additional healthcare options to those that either are unable to visit a facility or face barriers in doing so,” Beene told Newsweek. “If these services fail to be renewed in benefits, it would be devastating to the millions who rely on telehealth for crucial appointments.”

Without the extension, Medicare patients in rural areas could potentially still access telehealth services but only if using technology at a healthcare facility to speak with a provider in a different location.

Telehealth services will also be approved for stroke, mental illness, and substance use conditions.

Telehealth services have been linked to fewer emergency room visits and better health outcomes regarding medication management, but they also add to Medicare’s costs.

The government-run healthcare program already faces a funding crisis that could lead to a shortfall as early as the mid-2030s.

According to recent studies cited in Congress testimony, there’s been a 2.2 percent increase in telehealth visits per year, but the services can add to a higher cost of $248. That’s an uptick of 1.6 percent in spending per capita.

Newsweek reached out to the Centers for Medicare and Medicaid Services (CMS) for comment via email.

“We want those who rely on Medicare to continue receiving quality care and services from their doctors without having to travel to a hospital or clinic. Promoting access to telehealth in this way also promotes equity, as individuals in rural and other underserved areas may have trouble transporting themselves to an in-person visit or may have worse access to broadband,” a CMS spokesperson previously told Marketwatch.

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