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Decline of Telehealth During the Pandemic and After

Telehealth has been an essential tool during the pandemic but recent data shows that its utilization is decreasing as we move into 2023 and beyond. This decrease could lead to increased costs and decreased efficiency for healthcare systems as well as decreased access and poorer health outcomes for patients if nothing is done about it soon.

The pandemic has forced healthcare organizations to rely heavily on telehealth services. In 2020, virtual visits accounted for more than a quarter of all outpatient visits in the U.S., and they’ve been steadily increasing since then. But there is a flip side to this trend. Recent data shows that telehealth is declining in healthcare, which could create a burden for both healthcare systems and patients. Let’s take a look at why this is happening and what can be done about it.

Reasons behind the decline 

There are several factors driving the decline in telehealth utilization in healthcare settings. One reason is cost — many insurance companies are not covering telehealth visits at the same rate as in-person visits, which can make them less attractive to patients. Additionally, some providers who use telemedicine platforms do not receive reimbursement for their services, creating an additional financial burden on them. Another issue is access — not everyone has easy access to internet or the technology necessary for virtual doctor’s appointments, so they may be unable to take advantage of telemedicine services even if they want to.

The impact of telehealth decline 

The decline in telehealth utilization could have a significant impact on both healthcare systems and patients alike. For healthcare systems, it could mean increased costs associated with providing care as well as decreased efficiency due to longer wait times for appointments or increased no-show rates if patients are unable to access or afford their care via virtual means. For patients, it could mean worse health outcomes due to lack of timely care or difficulty accessing specialty care when needed due to long waiting lists or geographical distance from providers offering those specialty services virtually.

Way forward 

In order for telemedicine services to remain viable options for both healthcare systems and patients going forward, it’s important that insurance companies cover these services at parity with in-person visits. Additionally, providers should be reimbursed fairly for their efforts when offering these services so that they can continue providing them without financial strain on their practices. Finally, access needs to be improved so that all individuals have the opportunity to take advantage of virtual doctor’s appointments regardless of their financial situation or technological capabilities.

Telehealth has been an essential tool during the pandemic but recent data shows that its utilization is decreasing as we move into 2023 and beyond. This decrease could lead to increased costs and decreased efficiency for healthcare systems as well as decreased access and poorer health outcomes for patients if nothing is done about it soon. In order for telemedicine services remain viable options going forward, insurance companies must cover them at parity with in-person visits; providers must be compensated fairly; and access must be improved so that everyone can benefit from these vital tools regardless of financial situation or technological capabilities.

Photo: champc, Getty Images


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Smriti Kirubanandan

Currently serves in the Leadership role for TATA Consultancy Services Healthcare, is a professional healthcare strategist, business development, sales, and marketing executive with 10+ years of work at the intersection of healthcare, technology, and innovation. Expertise in building new businesses and revenue streams focused on market research, analysis, and evaluation of growth strategies. She is also a public health expert who is passionate about driving equity and equality in the space of nutritious food and making an impact to further improve public health by eradicating hunger, improving food policy, and executing strategies for sustainable and equitable Healthcare access.

She gained her Bachelor of Science in Computer Science and Engineering focussed on Robotics (BSCEN), followed by her Masters in Engineering Management (MSEM) from USC and Masters in Public Health (MPH) from UCLA. She is also a certified Raw Vegan Chef and Nutritionist. She currently serves the World Food Bank and Nourish CA board and currently in Fellowship at American College of Healthcare Executives.

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