Why a $1 billion Medicare fraud case could impede telemedicine growth

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Why a $1 billion Medicare fraud case could impede telemedicine growth
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One of the largest healthcare fraud schemes to date could amplify concerns regarding malpractice in telemedicine:

24 individuals — five of whom were US telemedicine executives — and could amplify concerns regarding malpractice in telemedicine and curb its adoption.The scam — which affected hundreds of thousands of seniors and resulted in over $1 billion in Medicare losses — alleges that the defendants received kickbacks from medical equipment companies for prescribing Medicare beneficiaries unneeded orthopedic braces.

Recent research shows telemedicine doctors overprescribe antibiotics to children. Over half of children who met with a telemedicine doctor for acute respiratory infections wound up with an antibiotic prescription,to only 31% who went to their doctors' offices, according to recent research.

And it's not the first time providers used telehealth programs to fraudulently extract money from government-funded programs. In November 2018, a team of providers in Tennessee was indicted in a scandal that$65 million from TRICARE, a US government healthcare program for military service members, per mHealth Intelligence.

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