We previously examined a type 1 diabetes care model based on the use of a remote patient monitoring (RPM) tool that analyzes CGM data. The care model was associated with improved glucose management and reduced provider effort. We compare the financial feasibility of this care model in value-based care (VBC) and fee-for-service (FFS) settings.
We set parameters based on the current deployment of the care model. In the FFS setting, we estimated Medicare reimbursement rates and labor costs for in-person diabetes education. We compared these to costs in a VBC setting where providers make prospective payments for RPM services. We evaluated the financial impact of the care model across a variety of parameters (Fig) .
In a FFS setting, we estimated that in-person care incurs net costs of $1per patient. Under a VBC contract, we estimated that prospective payments are offset by reduced labor costs, incurring net costs of $65 per patient (i.e., 49% savings) . These results are sensitive to input parameters (Fig) .
We identified financially viable payment models for an algorithm-enabled telemedicine-based care model associated with improved T1D glucose management. The analysis may inform operational planning at the clinic level as well as reimbursement policy design.
R.Leonard pei: None. P.Dupenloup: None. P.Prahalad: None. R.Johari: None. A.Addala: None. D.P.Zaharieva: Research Support; Insulet Corporation, International Society for Pediatric and Adolescent Diabetes, Leona M. and Harry B. Helmsley Charitable Trust. D.M.Maahs: Advisory Panel; Abbott Diabetes, Eli Lilly and Company, Medtronic, Novo Nordisk, Sanofi, Consultant; Aditx Therapeutics, Inc., Biospex. D.Scheinker: None.
Helmsley Charitable Trust.ISPAD-JDRF Fellowship.R18DK122422.SDRC.LPCH Auxiliaries.The Stanford REDCap platform (http://redcap.stanford.edu) is developed and operated by Stanford Medicine Research IT team. The REDCap platform services at Stanford are subsidized by a) Stanford School of Medicine Research Office, and b) the National Center for Research Resources and the National Center for Advancing Translational Sciences, National Institutes of Health, through grant UL1 TR001085.Stanford Maternal and Child Health Research Institute.