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Telestroke ROI Case Study

Posted on: July 1st, 2016 by Andrew Saluke

Learn How to Drive Telestroke ROI
REACH Health has developed this Telestroke ROI Case Study to provide a fact‐​based and quantifiable framework for evaluating the ROI potential of a telestroke program. The case study is based on a telestroke program that continues to thrive and expand, both in terms of geography and services offered today.

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The network includes a Comprehensive Stroke Center as the hub and ten unaffiliated spokes, some of which are Primary Stroke Centers. From the initial spoke hospital, the network added an additional spoke per quarter. Even with this aggressive expansion, the network was able to realize telestroke ROI in its second year.

Improving the Quality of Care
The telestroke program had a marked impact on spoke hospitals. Prior to joining the telestroke network, spoke hospitals transferred between 50 and 85% of their stroke patients; this dropped to an average of 25%. Additionally, the spoke hospitals saw a sharp increase in tPA administration. Prior to joining the network, spoke hospitals were either unable to treat ischemic stroke patients with tPA or treated them at rates of less than 5%. This rate increased to an average of 25% after joining the telestroke network.

Telestroke ROI Contributors and Expenses
Telestroke ROI was calculated as incremental net patient revenue less direct expenses less telemedicine system investment and operating costs. The case study includes the specific factors that drove ROI, along with the expenses associated with the program. It also describes factors not included that vary between networks but can also drive telestroke ROI.

Summary of ROI Results

The return on investment was fairly prompt. The five‐​year analysis of the telestroke network revealed the following:

  • ROI of $1.8M (52.0%) for the entire telestroke network
  • ROI of $709K (35.7%) for the Hub hospital
  • ROI of $1.1M (75.7%) combined total for the Spoke partner hospitals

Chart of the 5 Year ROI for the Telestroke Program

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