Senior Living Communities with Remote Monitoring Technology Experience Lower Discharge Rates, Higher Productivity and Revenues

MENDOTA HEIGHTS, Minn. – (Sept. 13, 2013) – Assisted and independent living communities that deploy remote monitoring technology with emergency response capabilities increase lengths of stay by reducing the number of discharges necessary to accommodate higher-acuity care needs of aging residents. That was one of several key findings of a study conducted by Halleland Habict Consulting LLC to evaluate the economic benefits of implementing remote “activities of daily living” monitoring technologies in senior living communities.

In “An Economic Analysis of Technology Enabled Care in Assisted and Independent Living Communities from an Owner or Operator Perspective,” researchers found that the percentage of discharges in communities with remote monitoring technology was 9% lower than those without, while monthly average service revenues increased by more than threefold. Remote monitoring also offset the equivalent of one full-time employee per day in time saved on room checks alone.

While the study was sponsored by Healthsense Care Alliance (HCA) and Healthsense, Inc., a leading provider of aging services technologies, the authors note that neither influenced its outcome. HCA is an organization of innovators and leaders in the field of senior care that has developed technology-enabled care, a unique protocol of senior care that combines the best of focused personal caregiving with innovative technology tools to enable caregivers to provide superior support and care services.

“Multiple surveys show that senior living providers consider remote monitoring technology to be a crucial aspect of care, pointing to its ability to improve quality and enable seniors to safely live as independently as possible. What was missing until now was the business case that demonstrates its value,” said A.R. Weiler, President and CEO, Healthsense. “This study provides that business case. It demonstrates conclusively that remote monitoring delivers significant ROI to providers, patients and caregivers alike.”

Halleland researchers evaluated the impact of the Healthsense eNeighbor^® remote monitoring system on occupancy levels, service package revenues and staff productivity at three HCA communities:  Ebenezer, Northfield Retirement Community and the Lutheran Home Association. Results were analyzed separately for each facility to account for variations across buildings for the year of 2012 with secondary analysis using data from prior years, where available. Occupancy was determined by comparing length-of-stays for assisted living residents.

In addition to finding that remote monitoring technology delivers a significant ROI for senior living providers, the authors concluded that benefits of its use will extend to the payer community as well as to patients and families. In particular, it is expected to drive down inpatient admissions and emergency department visits, both of which have significant economic impact under risk-sharing models such as medical homes and ACOs.

“It will be just a matter of time before the payer community with CMS (Medicare and Medicaid) products discovers this potential. ACOs and PCMH providers will likewise seek to take advantage of this opportunity when they are presented with its benefits for their patients and for themselves,” they wrote. “This reduction in emergency department and hospital use is also a signal of better quality of care for the individual and reduced stress and cost for the family and other informal caregivers. While the patient and family cost sharing for medical care is not a small cost for many individuals and families, it is this reduction in pain and suffering as well as improved safety and quality of life that becomes a very compelling impact of remote monitoring for individuals and families.”

Click here to obtain a copy of “An Economic Analysis of Technology Enabled Care in Assisted and Independent Living Communities from an Owner or Operator Perspective.”

About Healthsense, Inc. 
Healthsense, the fastest growing provider of aging services technology, provides technology-enabled care solutions for the entire senior care continuum. With a full range of remote monitoring, emergency response, and wellness management solutions, Healthsense helps senior care providers, managed care and accountable care organizations reduce costs, increase independence, and enhance caregiver and senior experiences. Built on a Wi-Fi platform, Healthsense products are scalable and enable flexible technology-enabled care designs that help communities deliver the highest quality of care. Visit www.healthsense.com for more information.