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Crystal Liang
July 8, 2019
JOURNAL ARTICLE REVIEW 2
Effects of Care Management and Telehealth: A Longitudinal Analysis Using Medicare Data
Telehealth is an innovative method of health care delivery that was developed through
the means of health information technologies and telecommunications technologies. It was with
intent that I selected a study that analyzed and reflected the effectiveness of health-care
technology adoption in health care management. This study specifically evaluates the mortality
and healthcare utilization effects of an intervention that combines care management and
telehealth, targeting individuals with congestive heart failure, chronic obstructive pulmonary
disease, or diabetes. The importance of this study is that it can demonstrate whether this type of
health care management technology can actually improve the quality and safety of patient care.
This type of study can be used to support and evaluate the effects of information technology in
healthcare, and determine if patient care services can be improved through the advancements and
The primary author, Laurence C. Baker, is Professor of Health Research and Policy,
Chair of the Department of Health Research and Policy, and a CHP/PCOR fellow at Stanford
U.S. health-care system, and his research has investigated a range of topics including financial
incentives in health care, competition in health-care markets, health insurance and managed care,
Program (HBP), which integrated a content-driven telehealth system with care management at
two multispecialty clinics located in Bend, Oregon, and Wenatchee, Washington. The study
targeted patients with congestive heart failure (CHF), chronic obstructive pulmonary disease
(COPD), or diabetes mellitus (DM), in which participants were selected and identified by
beneficiaries of the two clinics through Medicare records. An algorithm was developed to
identify participants who were loyal to a study clinic, more specifically, if they had 2 or more
visits at the clinic, or received more care from the clinic than any other, and did not have
conditions that would limit their interaction with HBP (e.g. dementia, blindness). Participants
were finally selected at two time points, into two cohorts. The first cohort comprised 763
beneficiaries in early 2006, while the second cohort consisted of 1,056 beneficiaries in early
The main measurement of the study was to examine the relationships between the HBP
and mortality and healthcare utilization, which included analyzing inpatient admissions, length
of stay, ED visits, and by comparing the selected intervention group with a propensity-matched
control group. The data of the intervention group came from finalized Medicare claims provided
by CMS, while the data of the control group came from Medicare claims from a 5% random
sample of all beneficiaries. To construct the propensity-matched control group, counties within
the Pacific Northwest similar to that of the two counties of the selected intervention clinics in
Bend, Oregon and Wenatchee, Washington were identified, and Medicare beneficiaries in the
CMS 5% sample residing in those areas were selected. Propensity-score matching was then
utilized to further select beneficiaries that most reflected the intervention participants using
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probit regression models for the respective cohorts. However, of the process of the data
collection, there were several problems that arose. It was discovered that 5% Medicare data
identifies dates of services at the quarter level, making analysis of readmissions impossible. In
addition, the data did not contain clinical or sociodemographic information (income, education,
etc.) because claims collected for administrative purposes were used (Baker et al, 2013).
Nevertheless, the measurement of mortality was observed from validated Social Security
Administration death records. Healthcare utilization was measured through inpatient admissions,
the length of stay, and ED visits, which were examined quarterly for each beneficiary and
aligned to match the start date of the intervention. Disease conditions were identified based on
diagnosis codes of the Medicare claims, and cox-proportional hazard models and negative
binomial regression models were used, controlling for demographic and health characteristics
that were statistically different between groups after matching (Baker et al, 2013).
The demographics and clinical characteristics between the intervention group and
matched control group were similar, as shown on Table 1. The results in mortality rates of the
participants of the Health Buddy Program showed a lower risk in unadjusted survival analysis
HBP participants were associated with a 15% lower risk-adjusted probability of death
(Hazard ratio (HR) = 0.85, CI = 0.74—0.98, P = 0.03), and the overall lower probability of death
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was largest among the individuals with congestive heart failure (HR = 0.70, CI = 0.57—0.87, P <
0.001) (Baker et al, 2013). The results in healthcare utilization had shown an average of 0.179
admissions per quarter, and a total reduction of 0.035 per member per quarter as seen on Table 2.
A net decline of 0.032 (18%) average quarterly hospitalizations were shown for HBP
participants, compared to that of the control group, which was a decrease of 0.002 visits per
member per quarter (CI = -0.054 to -0.010, P = 0.005). Finally, there was no significant
for ED visits. Among the disease conditions that were examined, the differences in reductions
between inpatient admissions of participants with chronic obstructive pulmonary disease were
larger than the difference in reductions between the overall intervention group and their matched
Conclusions
Because of the growing prevalence of chronic conditions, more challenges have arisen
with the association with considerable morbidity, mortality, and increased costs. This study
investigated the effects of better disease management, and whether it can yield better health
outcomes. More specifically, the mortality and healthcare utilization effects of an intervention,
the Health Buddy Program, were closely examined among selected participants. The Health
Buddy Program (HBP) consists of a Health Buddy device—a telehealth device located in a
patient’s home and linked over the telephone to care managers to facilitate the information
exchange. It integrates a content-driven telehealth system with care management and allows the
patient to collect and report information regarding their symptoms, vital signs, mental health,
knowledge, and health behaviors. The system then identifies the need for intervention based on
the clinical signs, lack of response, or gaps in the patient’s behavior, and provides appropriate
were measured and analyzed within a two-year study period: mortality, inpatient admissions,
hospital days, and emergency department visits. Along with these parameters, specific
individuals with chronic conditions such as congestive heart failure, chronic obstructive
pulmonary disease, and diabetes mellitus were targeted to ultimately understand the effects that
The procedures to conduct this study involved a retrospective matched cohort study,
which consisted of the intervention participants, and the random selection of a control group,
both from the Pacific Northwest region of the United States. The control group was constructed
by participants within the Pacific Northwest counties, similar to the participants of the
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intervention group by matching propensity-score. The intervention and control participants were
then matched 1:1 based on closest propensity scores, and measured on mortality based on
validated date of death, quarterly measure of the number of inpatient admissions, hospital days
The results concluded that after two years of collected data, the intervention group
utilizing the Health Buddy Program had 15% lower risk-adjusted all-cause mortality and a total
reduction in the number of quarterly inpatient admissions. Although there was no relationship
found between patients using HBP and the number of ED visits, results have also shown a strong
association with decreased admissions for patients with chronic obstructive pulmonary disease
and a decline in mortality for patients with congestive heart failure. Although these findings
suggest that effects of HBP differ according to disease subgroups, these statistical results has
lead the study to conclude that care management coupled with content-driven telehealth
technology has the potential to improve health outcomes in high-cost Medicare beneficiaries. By
integrating telehealth with care management, the HBP approach allows patients to understand
their medical conditions and consciously choose to improve their health behaviors. The HBP is
comparably beneficial for health care providers as well, as they are given better patient data in
which can allow them to provide better care and attention to the patient’s conditions (Baker et al
2013).
This study lacked a randomized control trial design, however, its strength is utilizing
statistical methods to compensate. It has yielded successful results in illustrating the overall
relationships between HBP, utilization, and mortality. However, there was insufficient data to
In addition, the study contained some limitations. Because claims collected for
administrative purposes were used, certain clinical and sociodemographic patient information
were not taken into consideration, such as the patient’s income or educational attainment.
Therefore any differences in these characteristics could not have been accounted for but could
have very much likely affected the outcome of the study. Furthermore, it should also be noted
that the 5% Medicare data only identifies dates of services at the quarter level, therefore it is
impossible to identify readmissions, which too, could have altered the results. Because this study
was designed to only compare an intervention that involved both telehealth and care
management to normal, traditional care, different patterns and usage of the HBP were not
Ultimately, these findings were supported by valid statistical data and analysis. However,
similar to all studies that are developed on retrospective analysis of nonrandomized settings, the
study cannot prove causality with certainty. There is credible information to conclude that the
Health Buddy Program is strongly associated with a decrease in hospitalizations and longer
survival rates, within a group of Medicare beneficiaries diagnosed with complex chronic
References
Baker LC, MacAulay DS, Sorg RA, Diener MD, Johnson SJ, Birnbaum HG. Effects of care
management and telehealth: A longitudinal analysis using medicare data. J. Am. Geriatr.
https://healthpolicy.fsi.stanford.edu/people/laurence_c_baker