Medicare Cuts Telehealth Coverage
Medicare will stop broadly covering telehealth services effective January 31, 2024, eliminating coverage for most patients unless they live in rural areas or visit a medical facility. This marks a significant policy change impacting healthcare access for many users across the U.S.
Teladoc Health (NYSE: TDOC), a prominent telehealth provider, has seen its stock drop more than 70% over the past three years. Despite concerns that Medicare’s changes could further harm its business, the company reports that a substantial portion of its revenue comes from commercial customers, primarily large employers and health plans. As such, the impact of Medicare’s cut may not be as detrimental as initially feared.
