Telehealth Fraud

McKnights reported the US Department of Health and Human Services Office of Inspector General has been investigating Supportive Care Holdings LLC and its CEO, Joseph Newmark, for alleged billing misconduct between 2019 and 2023. This company offered mental telehealth services to skilled nursing facility residents. Telehealth services have recently become very popular for seniors and long-term residents, especially in rural areas where healthcare can sometimes be difficult to access.

Policymakers are concerned with potential overcharging and fraud through telehealth compared to in-person healthcare settings. One claim is that there are extra fees of “telehealth originating site facility fees” in addition to billing for the services provided. “Telehealth originating site facility fees” should be handled by the nursing home facility themselves, according to the US Attorney’s Office of the District of Connecticut.

Another claim is that services were allegedly given to patients who have been transferred to another healthcare facility, such as hospitals. Officials from the Medicare Payment Advisory Commission say that concerns about “rampant” false claims in telehealth are not grounded in reality, but it is important for Congress to maintain the integrity of government services as it determines the future of telehealth funding.