How the Telehealth Modernization Act of 2024 Could Transform Medicare Services

How the Telehealth Modernization Act of 2024 Could Transform Medicare Services

On September 18, 2024, a major milestone was reached when the House Energy and Commerce Committee approved HR 7623, the *Telehealth Modernization Act of 2024*. This bill, if passed by the House and Senate, could significantly impact the future of telehealth in the U.S., particularly for Medicare beneficiaries.

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For many, the highlight of HR 7623 is the two-year extension of Medicare telehealth waivers, which are currently set to expire at the end of this year. If the bill moves forward without changes, this extension will allow telehealth services to continue through December 31, 2026. This is crucial for patients who rely on virtual visits for convenience, particularly those living in rural or underserved areas.

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Key Benefits of the Act

The extension preserves several important telehealth policies that were first implemented during the COVID-19 pandemic:

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- Telehealth services regardless of location: Patients can continue receiving care from home, whether in urban or rural settings.

- Expanded provider eligibility: A broader range of providers, including federally qualified health centers (FQHCs), rural health clinics (RHCs), and even occupational and physical therapists, can deliver virtual care.

- Audio-only services: Medicare will still cover phone consultations, a vital option for those without access to high-speed internet.

- Delayed in-person visit requirements: Mental health patients will benefit from the continued postponement of requirements for in-person visits if they don’t meet the geographic guidelines.

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What About Acute Care?

The bill also extends the Acute Hospital Care at Home waiver program by five years, running through 2029. This program allows eligible patients to receive hospital-level care in their homes. However, the extension comes with the requirement for further studies, specifically comparing the outcomes and costs between patients admitted to the program from emergency departments versus those transitioning from hospital stays.

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A New Chapter in Telehealth Regulation

Another important aspect of HR 7623 is the introduction of new modifiers. By 2026, the Secretary of Health and Human Services will establish guidelines requiring certain telehealth services to include a code or modifier when provided by practitioners who contract with or are paid through a virtual platform.

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Additionally, several amendments related to telehealth for Medicare were introduced, including:

- New payment structure** for FQHCs and RHCs during the waiver period.

- Interpreter integration**: The bill calls for guidance on best practices for incorporating interpreters into telehealth visits, ensuring more equitable access to care for non-English speakers.

- Virtual rehab services**: From January 2025 through December 2027, patients will be able to use virtual technology for cardiopulmonary rehabilitation services.

- Diabetes Prevention Program**: Telehealth will play a larger role in diabetes prevention from 2025 through 2030.

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What's Next for Controlled Substances?

One unresolved issue involves telehealth prescriptions for controlled substances. Leaks suggest that the Drug Enforcement Administration (DEA) may limit how often telehealth can be used for these prescriptions after the current waiver ends. This could restrict access for patients who need essential medications. Lawmakers have voiced concerns over these potential changes, but as of now, no formal proposal has been made public.

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The Future of Telehealth Is in Congress' Hands

HR 7623 passed out of the Committee with bipartisan support, and now awaits a full vote on the House floor. As Rep. Carter noted, this bill is essential for extending critical telehealth services to Medicare patients, especially seniors and those with mobility issues.

The outcome of this legislation will have far-reaching implications for healthcare access across the country, especially as we continue to navigate a post-pandemic world where virtual care plays an increasingly important role.

Stay tuned—we’ll keep you updated as HR 7623 moves through the legislative process.

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