The "Telehealth Expansion Act of 2025" allows more flexibility for health plans to cover telehealth services without affecting their high-deductible status.
Steve Daines
Senator
MT
The "Telehealth Expansion Act of 2025" amends the Internal Revenue Code to allow more flexibility for health plans covering telehealth services. This act ensures that offering telehealth services without a deductible does not disqualify a health plan as a high-deductible health plan. These provisions aim to expand access to remote healthcare services by reducing financial barriers. The changes will take effect for plan years beginning after December 31, 2024.
Telehealth Gets a Boost: No Deductible Needed for Remote Care Starting 2025
The Telehealth Expansion Act of 2025 is shaking things up in the world of health insurance, specifically for folks with high-deductible health plans (HDHPs). Basically, this bill ensures that your insurance company can offer telehealth services without making you pay towards your deductible first. And, it kicks off for plan years starting after December 31, 2024. (SEC. 2).
Deductibles and Doctors: What's Changing?
Right now, if you have an HDHP, your insurance generally doesn't kick in until you've paid a certain amount out of pocket – that's your deductible. This bill changes the game for telehealth. Under this new law, your plan can cover telehealth visits before you hit that deductible, and it won't mess up the special tax benefits that come with having an HDHP. (SEC. 2).
Real-World Rollout
Imagine you wake up with a nasty cough. Instead of dragging yourself to the doctor's office and potentially paying a hefty chunk towards your deductible, you could hop on a video call with a healthcare provider, get a diagnosis, and maybe even a prescription – all without worrying about that initial out-of-pocket cost. Or, picture a small business owner providing HDHPs to employees. It could be a relief knowing that their employees can get quick, virtual checkups without the financial sting.
The Fine Print and Potential Challenges
The act applies to telehealth and "other remote care services" (SEC. 2). That phrasing is a little vague, so it will be interesting to see how insurance companies and healthcare providers define "other remote care." It's crucial that this doesn't become a loophole for services that shouldn't be covered. Also, while this promotes telehealth use, it is important to consider whether easy access might lead to unnecessary appointments, potentially driving up overall healthcare costs.