Please ensure Javascript is enabled for purposes of website accessibility

White House Removes Telehealth Regulations to Help Fight Coronavirus

By Mark Prvulovic - Mar 18, 2020 at 6:24PM

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

Previously restrictive telehealth rules are being waived in light of the pandemic.

As the U.S. healthcare systems braces for the expected surge of COVID-19 patients, the Trump administration has been a vocal proponent of telehealth services. The Centers of Medicare and Medicaid Services (CMS), which is part of the Department of Health and Human Services (HHS), announced that it would be expanding telehealth access by waiving certain requirements.

This would allow Americans with Medicare to use telehealth services even if they are not in a rural community, which was one of the only situations in which telehealth services were covered. In addition to doctors and nurses, other healthcare providers, including psychologists and social workers, will also be able to provide virtual healthcare services to those with Medicare.

A doctor providing a medical consultation online via his laptop.

Image source: Getty Images.

President Trump declared a state of national emergency over COVID-19 earlier this month, allowing him to invoke a number of emergency measures such as the National Emergencies Act and the Stafford Act. In addition to expanding the power of state and municipal authorities to combat COVID-19, Trump specifically mentioned the importance of telehealth services in helping combat the spread of the virus.

Telehealth stocks are surging

While most companies have seen their share prices tumble over the past few weeks, telehealth companies are among the few businesses that have seen their stock prices rise. Teladoc (TDOC 0.53%), one of the leading telehealth service providers in the country, is up around 16% over the past month whereas the Dow Jones is down around 33%.

Teladoc recently reported that the number of daily patient visits shot up by 50% week over week, spurred largely by COVID-19 related demand. The company has confirmed that it's receiving as many as 15,000 requested appointments daily.

Mark Prvulovic has no position in any of the stocks mentioned. The Motley Fool owns shares of and recommends Teladoc Health. The Motley Fool has a disclosure policy.

Invest Smarter with The Motley Fool

Join Over 1 Million Premium Members Receiving…

  • New Stock Picks Each Month
  • Detailed Analysis of Companies
  • Model Portfolios
  • Live Streaming During Market Hours
  • And Much More
Get Started Now

Stocks Mentioned

Teladoc Health, Inc. Stock Quote
Teladoc Health, Inc.
$37.99 (0.53%) $0.20

*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.

Related Articles

Motley Fool Returns

Motley Fool Stock Advisor

Market-beating stocks from our award-winning analyst team.

Stock Advisor Returns
S&P 500 Returns

Calculated by average return of all stock recommendations since inception of the Stock Advisor service in February of 2002. Returns as of 08/11/2022.

Discounted offers are only available to new members. Stock Advisor list price is $199 per year.

Premium Investing Services

Invest better with The Motley Fool. Get stock recommendations, portfolio guidance, and more from The Motley Fool's premium services.