Telehealth and care coordination software like remote patient monitoring has increased by 38% since 2020.
This shows the rising popularity of Remote Patient Monitoring and indicates the high adoption rate of care coordination software. Furthermore, the benefits that these services have brought along with them have been changing the way we look and even receive healthcare?
After all, who would’ve thought that we would be consulting our physician over a mobile phone?
Having said that, for a healthcare provider, providing any service remotely without care coordination management and RPM software would be nearly impossible. While everyone in the healthcare industry in the United States is looking to digitize their healthcare practice, the pricing model for care coordination software and remote patient monitoring cost is where many practices doubt the digital shift.
However, how much should care coordination software cost for RPM programs?
Well, it depends on a lot of factors and the hidden costs of the care coordination software makes it difficult to calculate return on investment of RPM. So, to help you pay the right price for the software you choose, here is our comprehensive guide to help you navigate the complicated costs of RPM or any care coordination software.
Factors Affecting Care Coordination Software Costs
As discussed earlier, there are a lot of factors affecting care coordination software costs. So, here is a detailed overview of these factors and how they affect remote patient monitoring costs.
1. System Complexity & Features
Depending on the features and customizations in the software, you need the cost of the care coordination software to change. Basic software features with core functionalities like data collection and reporting will result in economic remote patient monitoring costs.
On the other hand, comprehensive software with advanced features like telehealth integration, patient engagement tools, and automated workflows will directly increase the estimated cost of care coordination software.
That is why it is suggested to analyze your practice and patient needs before finalizing any software. With specific needs in your mind you get a clear idea of the features you need. This will help you in finding the ideal software for you where you have to pay for the features that you will use.
2. Deployment Model
The software deployment model you choose is also something that affects the pricing of your software. Basically, there are two types of software based on their deployment: Cloud-based RPM Software and On-premise RPM Software. Let’s see how these factors affect the cost:
- Cloud-based RPM Software: Cloud-based solutions typically have lower upfront costs and software implementation costs. However, as you continue using the software, the recurring subscription fees can become a costly affair in the long run.
- On-premise RPM Software: Setting up the on-premise solutions has a significantly higher upfront investment for hardware, which includes servers, workstations, other equipment, and their installation. However, since it will create your own data center, it offers very low ongoing maintenance costs in the long run compared to recurring fees in cloud-based solutions.
3. Number of Patients
One of the most standard practices in the healthcare vendors is offering tiered pricing based on the number of patients enrolled in the RPM program. Though this is a widely accepted practice in the industry today, it can prove to be a costly affair if you’re serving a lower patient population.
On the other hand, if you serve a larger patient population, you can negotiate and lower the per-patient-per-month cost of care coordination software for RPM programs. That is why it is important to consider your patient population when estimating the cost of care coordination software.
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Download NowBreakdown of Care Coordination Software Costs
If you have already searched the internet about the cost of care coordination software, then you must be wondering why these software solutions cost so much. Well, here’s a breakdown of the cost to simplify it for you:
1. Software Licensing
Software licensing is the core cost of the software. Since the vendor has spent significant time and money solving a specific problem for you, they are bound to charge you for their service. This is usually charged by the vendor in either an on-time fee or a recurring subscription. Depending on the vendor and the type of software you are choosing, the cost of this can change and vary significantly.
2. Implementation & Integration
The next part of the care coordination software cost breakdown is the costs associated with setting up the software for your practice. For this, the software needs to be integrated into your existing systems, and a huge amount of data is to be migrated from one system to another. These are complicated processes as they include interoperability along with the risk of data loss.
3. Training & Support
The next aspect of cost is the cost of user training and ongoing technical support offered by the vendor for the smooth functioning of the care coordination software. Training and technical support are both integral parts of the software since they make the user aware of its different functions, features, and functionalities.
Additional Considerations
Apart from the factors affecting the care coordination software cost, here are some additional factors that might increase the costing of the remote patient monitoring software.
1. Data Security & Privacy
Given the sensitive nature of the data being collected, CMS has implemented regulatory compliances and data security measures to maintain integrity and gain patient trust. The healthcare industry is prone to cyberattacks, and data security measures need to be taken.
Developing robust APIs and other security measures can influence the cost of the software. Along with that, compliance with HIPAA, GDPR, HL7, etc., can increase the development process of the software, which is a crucial part that influences the cost of the software.
2. Return on Investment (ROI)
While remote patient monitoring costs have significantly higher upfront costs, consider the Return on Investment of RPM with the implementation of the software. The software should open the doors to long-term savings with improved care management, reduced hospital readmissions, and increased patient engagement with RPM. If the software has checked these checkboxes within your budget, then trust us, you’ve found the ideal RPM software for your practice.
Types of Remote Patient Monitoring Software Pricing Models
The healthcare industry is huge, and there are a lot of players in the market claiming to have developed the ‘best RPM software’ for you. However, now everyone is looking for customized RPM software, as they are usually costly compared to off-the-shelf software. Depending on that, here are some of the types of RPM software pricing models:
- Subscription-based Models: These are typically off-the-shelf software that allows you to use the software for your RPM services. These usually work on subscription models where you have to pay a subscription fee monthly or annually.
- Per-user Licensing: To make the software affordable for everyone, vendors also have a per-user licensing model, where you pay the vendor for the software as per user.
- Usage-based Pricing: Also known as the per-feature subscription pricing model, where you would have to pay the vendor for every feature you use within the RPM software.
- Customized Pricing Structure: Most healthcare providers look for customized solutions; this is where the development, maintenance, and support costs are added.
Conclusion
RPM has created a win-win situation in the healthcare industry, moving from a traditional to a digital landscape. While software is the core part of it, deciding the cost of the RPM software can be even more daunting for someone like you. Moreover, having a strategy while making decisions in selecting the right RPM software for your practice can define the future roadmap for your CMS RPM program.
While the RPM tides are picking up pace in modern-day healthcare, let this blog be your guide in choosing the right RPM software for the right price.
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Frequently Asked Question’s
Care coordination software costing has four different types of pricing models:
- Subscription-based pricing model
- Per-user licensing
- Usage-based Pricing
- Customized Pricing Structure
Three factors to estimate your RPM care coordination software cost:
- Features: Basic options start around $ 1 per month per patient, while feature-rich options can reach $ 8 per month per patient.
- Patients: Per patient, pricing might be better for smaller practices, while flat fees can be cost-effective for larger ones.
- Services: Full-service management by a third party can cost $20-$30 per month per patient.
Considering these hidden costs of care coordination software include:
- Confusing software can slow down your staff and cost you money.
- Fees per patient can add up quickly for bigger practices.
- Training and extra help can be expensive.
- Choose software that’s easy to use and has clear pricing to avoid hidden costs.
Instead of viewing care coordination software as a cost, consider it an investment that streamlines workflows. This means smoother operations, potentially improved patient outcomes leading to higher reimbursements under certain payment models, and, most importantly, reduced administrative burdens that free up valuable staff time for what matters most: direct patient care.
5. What resources are available to help me choose the right care coordination software for my needs?
Here are some resources to help you choose care coordination software:
- Industry review sites: These offer expert comparisons and user feedback on various software options.
- Vendor websites: Explore features, pricing, and case studies to understand how each software fits your needs.
- Professional associations: Seek recommendations and best practice guides from healthcare organizations.
- Software demos: Get firsthand experience by trying out different software options.
