The smart home has earned its place in the healthcare system

The integration of the smart home into the healthcare system is essential to futureproof the healthcare system. The pandemic has shown us the value of telehealth, but by bringing even more technology-related care into our homes, it will be possible to keep costs in check and address the challenges of an ageing society suffering from chronic illnesses and diseases.

Telehealth has proven its worth during the pandemic

If there is one thing that the pandemic has taught us about home-based healthcare, it is the worth of telehealth. Currently, telehealth mostly concerns digital doctor-patient visits and consultations, check-ins and status reports. Since the start of the pandemic, a growing number of consumers have participated in telehealth (see graph) and ever more are expected to continue to utilize it in the future.

Telehealth usage increased during the pandemic, Telehealth service used in prior 12 months among U.S. broadband households

Source: Parks Associates, 26-12-2022

The pandemic boost, however, shows only the nascent opportunities of telehealth. In a March 2022 interview with MedCity, Amwell CEO Roy Schoenberg sheds light on the telehealth potential. During the pandemic, consumers initially connected with a physician virtually, followed up – when necessary – with an in-person visit. Schoenberg envisions another scenario, one where a patient sees their doctor in person first, while follow-up appointments (e.g., to discuss medications or review test results) are done virtually. Such video visits are just the tip of the iceberg. Increasingly, claims Schoenberg, specialty care, too, will be made available virtually to people in their homes. A blending of in-person care and virtual care, along with remote monitoring, will allow a person’s level of care to be escalated in real time based on their needs.

More care can be delivered in the home

Schoenberg is not the only one who sees the potential. In a February 2022 report, McKinsey estimates that up to $265 billion worth of medical services (representing up to 25% of the total cost of care) could shift from traditional facilities to the home by 2025 without a reduction in quality or access.

Moreover, this shift is not only possible, it is also necessary. Our ageing societies, combined with the exponential increase of chronic illnesses (e.g., diabetes) pose a serious threat to keeping healthcare costs manageable in the future. Moving healthcare to the home can help keep these costs in check.

Additionally, traditional clinics and healthcare facilities often focus predominantly on the curative aspect of care rather than the necessity of long-term care for the elderly and chronically ill. The smart home, on the contrary, can address the specific needs of these patients. By integrating remote monitoring and telehealth technology into the home, part of the pressure on healthcare institutions can be alleviated. This technology can not only help people with their basic primary care (e.g., check-ups), but also more advanced care (e.g., recovery from surgical procedures).

Remote monitoring and telehealth improve care from home

Through remote monitoring and telehealth technology, the smart home can function as a “clinic” for recovering patients, as well as a base for chronic disease management and eldercare. In fact, in recent years, we have seen the emergence of new technologies that support remote monitoring, enabling the ability to maintain an autonomous lifestyle.

Diabetes, for example, is one of the fastest growing chronic diseases. Medtech companies such as Insulet and Dexcom offer convenient needle-free glucose monitoring and insulin therapies to diabetes patients. Further, the pandemic has accelerated the adoption of remote patient-monitoring devices such as smart pump technology and emergency response systems.

Meanwhile, “aging in place” is also becoming a lucrative market for medtech players. The smart home can help the elderly to remain independent for as long as possible. As technology becomes more user friendly and medical devices more interconnected, , seniors are more apt to accept smart technology in their home. For example, LG is developing smart TVs with a built-in health platform/app for telehealth appointments and many smartwatches are now equipped with fall and emergency detection.

Amazon appears determined to conquer the “aging in place” market. Their Care Hub ecosystem consists of smart home devices such as fall detection devices (provided by third parties), voice speakers, alarm systems, smart doorbells (to assist with medication delivery) and even a rolling robot. Its new subscription service Alexa Together makes it easier for relatives to stay in touch and offers remote monitoring with proactive features.

In addition to long-term care, the smart home also alleviates the pressure on hospitals by offering post-acute care from the home. This involves a wide range of services available in the home before and after a specialized hospital procedure, for example, remote patient monitoring combined with daily video visits to check vitals and an assigned nurse for weekly in-person home visits. More advanced procedures are already available, such as intravenous therapies using smart infusion monitors.

For acute or chronic patients and for the elderly, a reliable and consistent supply of medicines, delivered to their home, is an indispensable feature of the smart home. Healthcare companies such as CVS Health and Goodrx offer prescription delivery services and Walmart and Amazon have online pharmacy divisions. In the complex value chain of generic pharmacies, online challengers try to lower prices through transparent pricing and cutting out the middleman.

Connected healthcare devices offer potential for further improvements

Another goal of the smart home is to keep healthy people healthy. On this intersection of cure and care (e.g., prevention), many brands and technologycompanies are vying for a foothold in the health and wellness market. Adoption is growing: in 2021, 55% of U.S. broadband households reported owning at least one connected healthcare device, according to Parks Associates. Among these are lifestyle-related smart watches, fitness trackers and wi-fi enabled weight scales. Widespread utilization of medical devices, e.g., blood pressure cuffs, smart thermometers, blood glucometers, pulse oximeters and CPAP machines¹, is also becoming more common.

Smart wearables suppliers such as Apple and Samsung dominate the generic smart watch industry, while brands like Garmin focus on the sports niche. Apparel brands such as Nike and Under Armour promote “athleisure” and have a clear strategy in empowering their customers to manage their own health.

Nearly half of consumers owned a wearable in 2021 Wearable ownership among respondents

Source: Rock Health, March 2022

As connected health devices become cheaper and easier to use, society comes closer to the promise of technology as a tool for tracking health and living a healthier life.. The ultimate goal of this technology would be to prevent people from becoming ill and needing care. To achieve this goal, the collected data may beused to guide behavior and incentivize people to make healthy choices. Here the smart home can have an important role as well, for example, with healthy food and diets and with built-in prods for exercising, sleeping, waking, etc.

While we have not reached that utopic state yet, it is closer to becoming a reality. As more advanced technologies become available – to our wearables and to our homes – and the reliability increases, the smart home will become more valuable for all.

¹CPAP machines treat sleep apnea by delivering a stream of oxygenated air into your airways through a mask and a tube.